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AIBU?

Share your dilemmas and get honest opinions from other Mumsnetters.

Original poster

feeling that tax credits are totally biased towards working mums?

572 replies

Dragonhart · 13/05/2007 15:23

I am a SAHM and I get the min working tax credit as my DH earns just over the min for getting more help.

I was talking to my friend yesterday who works 4 days a week as a teacher (their combined salaries are just below the top of the band of getting any money) and I was saying what I got now we have two children. I get just over £40 plus about £40 baby element. When dd is 1 and I have two under 3 I will get £40.

She told me that she gets about £160 a months towards childcare in vouchers on her and her husbands paypacket (not sure if this is classed as tax credit?) and £75 permonth for her only ds in tax credits.

I am not making a coment about whether or not people choose to work as I stongly believe that everyone should have a choice to do what is right for them.

I just think that I should be supported in the same way as working mums. Surely I am my childrens 'childcare'?

OP posts:
colditz · 13/05/2007 15:27

realistically, nobody is going to pay you to stay at home and raise your children. It's a choice you have made - if you feel you would be better off getting a job you are of course free to do this, as she is free to take an income cut and stay at home.

LilyLoo · 13/05/2007 15:28

But you have to think of what her nursery fees would be for four days a week depending where she lives say 600 a month therefore she really gets little help to childcare. Also your care is free and it is geared to getting mums to go to work isn't it.

barbamama · 13/05/2007 15:31

Are you having a laugh? I get nothing because my working takes us just over the threshold. If I was a sahm my husands salary would be under the threshold and we would get something. I pay £500 out of my salary for nursery.

Original poster
Dragonhart · 13/05/2007 15:34

She said her childcare costs are £500 per month.

So she gets nearly £200 towards that.

Colditz that is fair enough, it is my choice to work at home looking after my children but I just dont see why she should have help doing what she wants to do?

OP posts:
Quasi · 13/05/2007 15:35

I get nothing, as we earn just over the threshold - fair enough. BUT then 40% of our income is given to dh's ex wife, which takes us way below the limit. This is not taken into account, so we get nothing. His ex, meanwhile, continues to claim benefits.

colditz · 13/05/2007 15:37

Well, why should you have help doing what you want to do, then?

At the end of the day, she is contributing financially with her income tax and national insurance - her tax credits are actually more like tax back. You are actually gettong an income from them, without going to work. Some might say you are better off.

LilyLoo · 13/05/2007 15:37

That sounds alittle unfair Dragon as if she had no help then going to work and paying her nursery fees would be impossible which is not the case for you.

Original poster
Dragonhart · 13/05/2007 15:38

Barbaramama, I suppose it is the people who are at the bottom of the scales that loose out.

The more money you have, the more you get it seems.

Quasi, that doesnt seem fair at all!

OP posts:
NuttyMuffins · 13/05/2007 15:39

Don't forget though that for some people, getting help with the childcare costs is the difference between them being able to go to work or not.

When somebody eventually decides to give me a chance and employ me, I will need help with childcare costs and without it I couldn't afford to work at all.

charliecat · 13/05/2007 15:40

She gets £200 which means she has to earn another £300 before she even sees a pound for herself
Tax credits are based on household income as well as the amount of hours worked BTW.
I take it your DH earns over 25 grand as thats when the £40 a week kicks in.

colditz · 13/05/2007 15:41

I don't see how you are losing out at all. You may have a single income household but you have a pontential double income household. You can't seriously be complaining that she has more money than you because she goes to work? How is that unfair?

Original poster
Dragonhart · 13/05/2007 15:42

Coldiz, apart form the fact that I have paid tax all my working career and will do when they are at school and I go back to work, I pay tax on savings and my household income ie my husbands salary.

The tax credit I get is only because of my husbands salary so I am getting mothing for 'free'.

OP posts:
colditz · 13/05/2007 15:45

No, and neither is she.

lulumama · 13/05/2007 15:46

ok, how can the state support SAHMs aswell as WOHMs..there is only a finite amount of money, and no-one wants to pay more tax, which is ultimataly where more support would come from

i am a SAHM, it does not occur to me to ask for money from the state, or any other source other than DH !!

SAHMs are not always valued by society, but if you are not happy being one, because you feel like you are missing out financially, then maybe you need to rethink your options?

colditz · 13/05/2007 15:49

You may have paid taxes all your life, so has she. The difference is, she is working now. She needs that help with childcare now. This is not something you have to pay for.

You could do exactly what she is doing, you made your choice and you know your options, why are you moaning?

LilyLoo · 13/05/2007 15:50

Dragon how would the state be able to fiance all people who stay at home. If you wanted to go out to work you would get the same help.She isn't getting it for nothing she is getting it because she goes out to work and contributes to tax and national insurance surely.

Original poster
Dragonhart · 13/05/2007 15:50

I can see what you are saying cold and I suppose I havent thought about it from that point of view.

It just seems that it is in the governments interest not working mums to get mums working and therefore they get the tax from their salary as well as that of the person caring for their child.

As you say from me they make no money so why would they support me.

OP posts:
Saggarmakersbottomknocker · 13/05/2007 15:51

Ooo do I need popcorn?

allieBongo · 13/05/2007 15:52

i work, and pay childcare, we don't earn more than 30k pa and i get £32 a month for 2 children under 7, so no, it is not biased. I get no help paying for my childcare at akk.

allieBongo · 13/05/2007 15:53

at all even...

Original poster
Dragonhart · 13/05/2007 15:54

I really am not trying to start an argument about it. Just wanted to know the other side of it and appreciate people letting me know their circumstances.

You can get so wraped up in your own problems that you dont see it from another point of view.

I personally think that all mums work damn hard whether they stay at home or work.

OP posts:
Original poster
Dragonhart · 13/05/2007 15:55

allie have you checked that is right? Surly you should get at least the £40.

OP posts:
colditz · 13/05/2007 15:57

i think that's why they don't want to support SAHM too much - they don't really care about giving children the very very best, despite what they may say. They care about adequacy. If the child will be brougt up adequately if mum goes to work, they feel mum should go to work.

Only parents care about the very very best for their kids - the government just wants to make sure you done't actually hurt them and that they are employable by adulthood.

colditz · 13/05/2007 15:58

No, no no popcorn.

Original poster
Dragonhart · 13/05/2007 15:58

and the vouchers she and her husband get in their paypackets (although dont know much about that)

OP posts:
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