to think some people are financially better off not working/working pt??

[slipperandpjsmum]

We are really struggling financially. My dh was talking to someone at work yesterday who said he had reduced his hours as his family were better off as they now received child tax credits.

Has anyone else experienced this?

My dh (6 days a week) and I both work full time but we are getting deeper into debt. We both work long hours and our quality of life and our childrens seems to be getting worst and worst.

Any ideas?

If you're 'deeper in debt' book an appointment with the CAB or one of the free debt advisory services. If you want to know if you'd be better off reducing your hours and relying on state help run your details through a Benefits Checker like this one. Don't plan your future based on 'someone at work said'... or you'll be in the shit.

YANBU.

I know a lovely family who have an adult son who is autistic. The Mum works full time and the Dad took early retirement. The son has a part time job at a swimming pool, and has been offered more hours. His Dad wouldn't let him take the extra hours because then he would lose his carers benefit. I'm not speculating here, this is what they openly told me and dh.

As for your situation, you need to do your research into whether you would be better off. Look on entitled too or money saving expert, there might be some help there. But remember that what you could get now may well not last, things could change so you have to work out what would be best in the long run.

YANBU to think this. But would you would be unwise to change your life because of it unless you really think you have no other option.

Some people are better off working fewer hours because of tax credits. However, tax credits are being reduced every year. You might be better off initially, but in a few years time you could find yourself substantially worse off. It is always better to avoid being at the mercy of successive government's whims.

Also, have you considered the longer term impact? Part-timers are more likely to be passed over for promotion and pay rises, meaning that ultimately you can pay a much higher price than just the immediate reduction in salary (which, as you say, may be topped up by TCs). And ultimately your DC will be grown up and you won't get any TCs at all (if they even exist by then anyway).

I am currently paying so much in childcare that I am left with less to spend on food and bills than someone on benefits. I consider it worth it though. In a few years time, when my childcare costs have reduced, I will feel an awful lot better off, have no off-putting gaps in my CV, managed to hang on to my house, and above all, kept the self-respect and sanity that can often be stripped from people on benefits who are constantly told they are 'scroungers' etc.

Ultimately, this is a long-term game. Financial pain now may be worth it in the long run because it really isn't a good idea to make yourself so vulnerable and dependent on state help unless you have no other choice. However, if things are really that bad that you're miserable and on the brink of financial collapse, then it may be your better option. But you should only consider it as a short-term plan to get yourselves back on a better footing.

DEfinitely go see the CAB or an independent debt advisory service. You'd be amazed at the amount of help you can get for debt management these days. I'd be very surprised if you couldn't get something worked out to make those debts more manageable.

Good luck. I can see why you feel like your running faster only to go backwards and I hope things improve for you.

My DH went part time and we were better off financially plus he had more time to spend with the DC's... I really didn't make any sense but worked out well for us!

Use an online calculator to work out how you would fare if you gave up work, you might find that you would be better off taking into account fares to work, child care costs etc.,

If it means you have more quality time at home do it.

Alot of out of work initial benefits are becoming contributionary, so by going part time you could be potentionally cutting yourself out of these.

You need expert advice.

This may be one of the reasons that in the case slave quoted, they may have decided to stay on carers benefit, as it protects your NI contributions, but the extra hours may not be enough to cover the amount needed to prevent poverty at a later stage in life.

I am definitely better off staying at home. By more than £400. But I want to work. I am going to be paying to go to my job. Sucks.