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AIBU?

Share your dilemmas and get honest opinions from other Mumsnetters.

Original poster

to think that too many people rely on the Tax Credits for their income.

593 replies

IdRatherBeInBed · 19/05/2011 11:42

Bit of background first

My sister and her boyfriend has got back together after they split up last year. She was then claiming income support.

He has moved back in with her so her benefits have all stopped. she works 13.5 hours a week, he works over 30 hours. They earn £17k between them. Which lets be honest in this climate is not alot of money.

Shes just called Tax Credits to let them know hes moved back in and wanted to know what she would be entitled to WTC wise. Due to her HB/CTB stopping. Her rent is £500 per month, CT £100 per month. She is entitled to £4.90 per week.

I am sad for her because after all rent, ct, bills have gone out shes isnt left with anything. her food bill for the month has had to be cut to £200 per month. She has a car on finance (through my dad) which is shagging her tbh due to engine size (she got it when still with partner before splitting up and he had to get a 1.8 sport^^) her insurance with just her on it is £115p/m. Hmm - (she isnt 25 yet)

Anyway she called them last week to ask how much she could be entitled to, they told her £80 per week so she was like
"ooh we can afford this, we can afford that" so went out and spent £100 on clothes for her, him and nephew. I told her not to rely on what they have said because it could be wrong but she wouldn't listen and was saying 'it will be right'. Today she rings me bollocking me as to why she is only entitled to £4.90 per week.

FFS why bollock me - i dont work for them.

WIHBU to have said to her 'cancel your £24p/m gym membership, get rid of the car or change it if you can, stop getting things from catalogues that you cant pay for and get your arse of a boyfriend to stop spending money you don't have on shit like £5.50 magazines each week, stop getting shit for the garden you dont need, you don't need so many fucking flowery things to make a garden look nice.

Or what i come across as a complete and utter bitch.

She is one of these who says "oh i have no money" but yet has enough for new clothes or go out for a meal, or takeaway"

OP posts:
Cocoflower · 19/05/2011 14:31

Well Rita you better hope they dont suddenly decide when they do your reassement your only allowed £20pcm for whatever vauge reason they choose then better you?

ShirleyKnot · 19/05/2011 14:33

I expect Rita does hope that. As do most people who have to rely on TC's.

xstitch · 19/05/2011 14:33

Before I was awarded tax credits I skipped a lot of meals to make ends meet, sat in the dark and cold. Should I go back to that. Personally I would rather have a better job, I am well into triple figures with my job hunting (may even be approaching quadruple figures) but no luck yet.

I at the moment now have the undeserved luxury of some food on the table, having the heating on occasionaly and put on low powered lamp on instead of tripping over things also easier to read job hunting stuff that way. I also pay for internet access, stamps and stationery so that I can job hunt (imagine the cheek of me)

'Relying on them because you have to is not a good idea'? Well if you have to its not really a choice is it?

I am so ashamed at having to ask for help thanks for making me feel worse folks.

RitaMorgan · 19/05/2011 14:36

Yes Cocoflower I do hope that! I also hope I don't lose my job, I hope DP doesn't get killed in a car crash, I hope our house doesn't burn down etc etc.

But what am I supposed to do about it?

Cocoflower · 19/05/2011 14:36

But to me its like pinning your hopes on a foundation of dust.
I am sympathetic to the fact you need them.
I have needed them myself.
I am worried for anyone (and I mean genuinely) for anyone needing them to eat because of the unfair system.

Peachy · 19/05/2011 14:38

xstitch I did amend that afterwards- was a typo!

RitaMorgan · 19/05/2011 14:39

Yes and none of us should be relying on wages in the current economic climate. We should all be independently wealthy and there wouldn't be a problem.

xstitch · 19/05/2011 14:40

I don't pin my hopes on them I have willingly given up food for my family. I even got myself a job but wasn't allowed to move to take it . I was told its OK there are benfits even though I wanted to work and support myself. I am not proud of having them I am ashamed to the point of suicidal thoughts. Is that enough humility or should I self flagelate more?

Cocoflower · 19/05/2011 14:42

Yes... DH did lose his job as I mentioned. Where was the goverment help then?

I would rely on DH wages more as they are set in a contract and cant change by 90% for no reason and his employer cant suddenly demand £3k for no real reason.

Cocoflower · 19/05/2011 14:44

Well at least you got benefits when you needed them xstitch.

RitaMorgan · 19/05/2011 14:45

But Cocoflower it's easy to say "you shouldn't rely on TCs" - but practically what should people do instead? When their wages won't cover the basics, what are their choices?

ShirleyKnot · 19/05/2011 14:45

This is ridiculous coco, and I'm wondering now if you are being deliberatley obtuse.

HalfPastWine · 19/05/2011 14:46

In an ideal world, raise the minimum wage and do away with tax credits!

pickyourbrain · 19/05/2011 14:47

As someone said near the top: "Don't get me started on Tax Credits. They were without a doubt the most stupid system invented by the Gordon Brown to get a nation hooked on benefits and therefore be Labour voters." nail. head

xstitch · 19/05/2011 14:49

Not entirely coco I lost my job 3 years ago, lost my house ending up homeless, nearly lost my daughter, lost 3 stone due to being able to afford food. I was only awarded tax credits last week. In the process benefits people delighted in telling my I was scum for losing my job I should just try harder etc the most humiliating experience ever.

I know I am undeserving scum I have been told often enough. Oh and before anyone asks I have worked since I was a teenager, part time while studying and then full time til my early 30s when I lost my job. So I have paid taxes. I still am paying taxes although admittedly not as much since taxes are a percentage of income and I don't earn much working only a few hours a week in the job I did manage to get.

xstitch · 19/05/2011 14:50

Sorry that is meant to say I was awarded tax credits only last week.

Peachy · 19/05/2011 14:50

I voted Lib Dem. Was a member, asked to stand for Councillor.

Until the last election.

Only thing that ever made me vow to never vote anything other than Labour again was the results of coalition promises. And the idea that one day my kids will be left to fend for themselves with the effects of this idiocy following them around.

Cocoflower · 19/05/2011 14:51

Xstitch your hardly that different to what I have been through. Yet we got NO help on some occassions.

Why does the system work to help some and not others?

xstitch · 19/05/2011 14:59

Because the harder you work the more worthless you are I would be better off if I had dropped out of school. You will note above I said I didn't deserve help because I am undeserving scum. Or in the words of the benefits advisor: 'If you just got off you fat arse and succeeded in finding a better job you wouldn't be accepted for benefits'

Being told you have a fat arse is particularly offensive when you have been forced to starve yourself and the benefits office is next to a lovely smelling cafe. Being told the only reason you don't have a better job is you haven't got a better job is lack of effort is particularly bad when you have applied for over 100 jobs, done extensive research for each applications.

I did decide not to go for a couple of jobs one was 16p a week higher income but £25 a week greater commuting cost and greater child care costs due to the longer commute. I also didn't apply for the job they suggested for me in Essex as I didn't want to commute there either. Nothing personal against Essex but 500miles is rather far to commute for any job let alone a minimum wage one.

PeppaPigHonk · 19/05/2011 15:06

Abolish tax credits, raise the minimum wage, raise the tax threshold to 13K a year and give all kids on low wages free breakfasts and hot lunches.

ikoto · 19/05/2011 15:12

The problem is the last Government encouraged a property bubble in order to fuel an economic boom. This has caused the cost of buying or renting houses to grow at a quicker rate then wage rates and so people can no longer afford to get by on their wages alone. The Labour Government brought in tax credits to try and make up the gap but this isn't a sustainable or sensible policy. Add to this that in the last 3-4 years inflation has been far too high people are struggling again.

Insomnia11 · 19/05/2011 15:16

People shouldn't need tax credits - because they shouldn't be paying so much tax in the first place. Tax credits aren't benefits, they are in some way acknowledging that people on low incomes shouldn't be taxed so much. Obviously there are some people who don't claim the credits so it saves the Govt money - or does it? - costs of administering the scheme.

If Govts really wanted to be fair they'd reduce income tax for anyone on a low income, but I can't see it happening in the foreseeable.

ilovedora27 · 19/05/2011 15:46

Insomnia - most people are getting way more in TCS than they pay in tax.

Oakmaiden · 19/05/2011 15:56

ilovedora - that is true. Before we moved I was the main wage earner and earned around £800 a month, and then got more than £500 a month in tax credits - no way I was paying anything like that much tax.

However, no way we could have survived without it - myself, husband, 3 children and a mortgage (and thus no access to housing benefit).

Peachy · 19/05/2011 15:58

posted this once and MN crashed

raising tax level would have worked under initial, version of tax credits but now the system covers income support for chidlren (under the CTC system), disability support and what used to be called family credits (support for low income working families prior to TC system)

Raising the tax threshold would make sense for WTC but becuase of the absorbed benefits leave the poorest stuffed becuase of the wide spectrum covered by CTCs