If you had a spare/surprise £500...

[Ffsffsffsffsffs]

I've had a text to say I'm eligible for the £500 tax credit bonus this month.

We live reasonably frugally (I do get some of the working tax credit element and have worked throughout covid) but not as strugglesome as we were 5 years ago due to job changes etc. I'm a single parent, kids see dad incredibly rarely. We have a monthly budget that I always stick to which includes putting money away for things like Xmas, birthdays, car expenses, even holiday/emergency fund. We don't aspire to fancy gadgets, I drive a sensible & reliable car, albeit a bit old and battered, kids recognise that we can't stretch to fancy trainers/brand clothing. I have a mortgage that doesn't scare me any more, and is comfortable in our budget. We do occasionally have treats - takeaways, meals out, cheapo weekends away just the 3 of us, budget self-catering holidays when we're able.

So this £500 is a real bonus. I've got nothing that needs replacing, I'm very OK with getting clothing bargains online and I hate physical shopping for the sake of it. Do I stick it in the holiday piggy bank? Make a payment on my mortgage? Treat for me or the kids? Blow it all on sex, drugs and rock and roll?

If you had an unexpected £500 (that was surplus to your monthly budget), what would you spend it on?

[quote MyDcAreMarvel]@PussyCatEatingEasterEggs you can also claim CT without wtc. Please don’t just google without knowing all the facts, it just makes you look a bit stupid.[/quote]
Not for new claims, it's clearly stated on the government website, the link is above.

[quote MyDcAreMarvel]**@gallbladderpain* Equally if your award did not increase by £20ish per week last year then it is unlikely that you will be getting this £500 payment*
That’s incorrect , earnings can wipe out the £20 a week but not the £500.[/quote]
I wasn't aware of that anyone I know who only received CTC but was also working (but earned too much to receive WTC) also received the extra £20 per week last year. Some of these were earning a lot more than the WTC threshold....up to around 30K and still got the extra £20 per week.
Very confusing.

I've no idea what the going rate is but I'd put it towards a new mattress which is next on my list for a new purchase in the very near future.

I would spend that either on a weekend at Lego land, or extra treats/activities on a holiday (or both!).

[quote MyDcAreMarvel]@PussyCatEatingEasterEggs you can also claim CT without wtc. Please don’t just google without knowing all the facts, it just makes you look a bit stupid.[/quote]
My original post:

Blow it all on sex, drugs and rock and roll?

Sex, obvs.

or bung it in a savings account - that way when something goes kaboom and smoulders in your kitchen/living room, you have the funds to replace it.

Not sure where you got the "googling" from...🤷🏻‍♀️
Who looks stupid now?

@CornishTiger

Premium bonds. Easy to withdraw when you need it. Takes a few days.

Do you have a help to save account ?

I do have a help to save account - and a monthly SO for the payment which goes straight out on payday so I don't notice it. That's earmarked for something specific when it matures though (was saving up anyway, a no-brainer with the 50% return!), but thanks for the reminder!

I'd save it. Dead boring me. The idea of being able to spend it next time I fancied something but wouldn't usually afford would buy joy.

I'd be boring and save it. Luckily, surplus money doesn't burn holes in my pockets

@punkingscissors It wouldnt benefit my children at all. My children are both in their 20s now so obviously i dont receive any WTC for them. My answer was about what i would spend an unexpected windfall on and Molton Brown products are it.

@PussyCatEatingEasterEggs Not sure where you got the "googling" from. that would be the link you posted!

@PussyCatEatingEasterEggs so sorry that wasn’t for you at all it was for punkingscissors.

If they have an excess then they shouldn't be on benefits.

So people on benefits must live with £0 on their bank at times? Ridiculous.

Also your point is moot when the excess has been given by HMRC willingly

If you have a problem with benefits claimants take it up with pensioners. They by far are the biggest cost of the welfare bill of the U.K. don't berate single mums who want to take their kids to the fucking seaside

@punkingscissors bit nobody is talking about new claims. The wtc £500 is for current claimants.

According to the gov website, the Working Tax Credit element was increased up to a maximum of £20 per week (if you got the full award, which I don't, so I've not really seen much increase/benefit overall). This is being reduced again shortly, hence the £500 'bonus'.

You have to be eligible (ie receiving WTC or 'would be entitled to it if your wages didn't take you over the threshold' - check your award paperwork, it'll show as zeros but still as WTC) to receive the bonus, I believe everyone who gets the text will receive it by the end of the month.

@punkingscissors hate to break it to you, but the government set up "Help to Save" accounts specifically for people on WTC, to help them save money. So they do expect people on WTC to have some excess.

@gallbladderpain Some of these were earning a lot more than the WTC threshold....up to around 30K and still got the extra £20 per week.
Very confusing.
Their earnings must have wiped out all but the £20.

@gallbladderpain

Equally if your award did not increase by £20ish per week last year then it is unlikely that you will be getting this £500 payment. You can check your award on gov.uk gateway. Mine will be just over £20 per week down from this week on what it was from April 20. That was the extra covid payment money that is now the £500 to cover that extra £20 a week until September.

You can't actually check it on Givernment Gateway, it won't show. If you've had a text about it then you're getting the payment.

I understand it's to replace the £20 a week loss - but I can cope with losing £20 a week, but a lump sum will be treated differently for most people.

Im praying we get it as we are looking a private assessment for my son which costs 650

In your situation I’d save every penny of it.

I would save the majority, premium bonds or help to save both good suggestions. I would spend a small amount (£50 ish) on an activity or two with the children.

I regularly get "windfalls" (from working overtime!) and always take roughly this approach.

@HollowTalk

Isn't it given to you because they're reducing tax credits soon? I thought that's what was happening.

Yes this ^

I got all excited but all they are doing is giving us the money they would have given us over several months, in one go. Still nice to have it in one go I suppose - if you have enough without it weekly...

I'd save it incase they realise they've made overpayments for which they are notorious in doing so!

@Timper

Put it towards a handbag.

Really! 🙄🙄🙄

You really can't think of a better use of money than a status symbol so called 'luxury' handbag!

😂

(And mine is going to go towards a 3 night break for me and my teens in June).

@themoneypolice what an appropriate username. Different people enjoy different things, you know.