Can I claim Universal Credit?

[Heatherfancy]

Could someone please tell me.

I'm self-employed, single and have one dependent. I receive zero support or maintenance from biological father as he's out of the picture and lives abroad. I've worked full-time since January and my earnings for both January and February have been roughly around £3000 per month. This month has been brutal and my health hasn't been great. Estimating I'll make about £1500-2000 a month (figures are before tax)
My outgoings are high and I pay close to £1000 in childcare alone. I work on commission and sometimes I am working all hours and can make good money, on others days I am earning close to £40 on a 12 hour day. I am beyond exhausted as always chasing money, as well as trying to be a good parent to my dd.

I am thinking of claiming UC as with the cost of living, childcare costs and high outgoings, I could really do with some extra help. I'm a bit concerned however as I can't provide pay slips or anything to prove I pay for childcare. I have a nanny and since January, she's asked if I can pay her in cash each week and she'll do her own taxes. Would this be an issue? I've since come to realise there is something called 'Nanny tax' which I was totally unaware of but she insisted she would sort it all out.

If she isn’t invoicing you on a self employed basis and you aren’t providing pay slips so that she can sort her own tax, then you aren’t just paying her in cash, you are paying her cash in hand.

www.nannypaye.co.uk/cash-in-hand-nanny

I had no clue I was meant to do this 😣. She told me she would sort it and asked for cash.

If it’s only since January then I would contact HMRC now about NI & tax and just type out some payslips, keeping a copy on file for yourself. Do this every month going forward from now on.

According to Turn 2 Us, they're not counted as income, but errors can arise if the employer incorrectly reports the expenses.

https://www.turn2us.org.uk/Benefit-guides/Universal-Credit-income-and-capital/Earnings#:~:text=If%20you%20have%20deductions%20from,t%20be%20treated%20as%20earnings.

Sorry wrong thread

https://www.gov.uk/guidance/universal-credit-childcare-costs

hth

You would definitely be entitled to money towards your childcare based on an income of £1500-£2000, but only if the nanny is registered and working legally i.e. not cash in hand.