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choosing to stop child benefit?

(2 Posts)
Mossop17 Wed 01-Feb-17 21:18:21

hubby has had a pay rise, it puts his earnings into the lower end of the bracket for stopping child benefit. I don't earn much at all in my 22 hrs a week job and have not paid any NI contributions in approx 9 yrs apart from the odd £1 here or there when i had overtime. I have worked in part time low hours jobs since having our second child. Im hoping the new job (im 2 weeks in) will allow me to pay NI (never have i been so keen to pay tax! lol)

I had read that claiming child benefit secures your NI contributions for pensions later. But if we as a household stop the payment then presumably im not adding NI from it??

If we keep receiving do we need to do a tax self assessment which sounds scary,

Looking for advise from those who have been where i am now.

TreeTop7 Wed 01-Feb-17 22:03:12

Check your NI status for shortfalls at www.gov.uk/personal-tax-account. If you're earning enough to pay NI in future, cancelling CBen won't matter.

However, if his income is well under £60k you could be missing out on money to which you're entitled. The SA return isn't too bad when there is only one job plus Child Behefit to declare.

Remember that his "income" is adjusted net income not purely salary. So, if he's only just over £50k it's worth voluntarily paying the excess into a pension (he'll also get an additional 20% relief on these via his code, too). More info on adjusted net income : www.gov.uk/guidance/adjusted-net-income#what-adjusted-net-income-is

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