I need to up my working hours for financial reasons. I currently work 18 1/2 and am looking at working 30 ideally, though may do 37. What impact will this have on my tax credits? I currently receive tax credit for my DS - will it go down if I work more hours? I get the child element for one child and the afterschool fees/childcare element (which I think is now 70% of the cost).
If you ring the tax credit helpline staff will be able to give you some idea of how change of working hours would impact on working & child tax credits.......it is likely to go down if you work more hours (I think)...and from memory the thresholds are 16-30 hrs and 30hrs+. Though they won't quote you an exact figure, if you call with an anticipated annual salary and hours per week options they will give you approximate figures.
have a look at the online child tax credits calculator. It's not always 100% accurate but it's damn near accurate enough. Remember the figure at the end if what you'll receive between now and the end of March so divide by roughly 9 months to get the monthly figure.
put the figures into entitled to and see what it says. But remember - the 11/12 tax credits are based on 10/11 income unless you either ask for it to be based on 11/12 or your income increases by £10k+. So it may be that you don't see any impact for 11/12.
Regardless - you should always inform them of any change of circumstances, including changes in income and moving between working hours "thresholds".
If you move from part time to full time (ie 30 or more hours a week) you will get a full time 'bonus' of approx £500 a year I think it is. ALthough your WTC and CTC will go down, your salary will go up and you'll get the 'bonus'. I recently went to full time from part time and massively better off this year. I do know that part of it is because it is based on previous year's income so I am using the additional money for stuff that I wouldn't normally budget for (new furniture, clothes etc) knowing full well I won't have so much next year (but will still be better off that I was part time)