To ask how many of you know about the Child Benefit Charge?

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I had to repay over £6k a couple of years ago. Had to get out a loan to do it. The children were mine and not my husbands and I had always claimed as a single parent so just didn’t stop.

Have just read daily mail sad face story about this happening to another family.

My sister and her husband have always claimed it. They have never had it questioned. I just wonder if HMRC are blanket mail sending and hoping people will be honest.

I genuinely had no idea about it until we got the letter. It also seems grossly unfair that two people can earn £49999 per year but if one person goes over it you have to repay it. In our case it was my husband who went over the threshold just slightly so we had to pay back from the day we moved in together.

Any one else?

Yes, when it came into practice I was claiming for my DD but as my DH was earning over the limit, even though I was earning no where near, we stopped claiming as my DH would have to pay it back in tax. It was quite well publicised at the time.

Given I knew about it in 2012 as it had been all over the papers (and we were abroad with HM Forces), it was well publicised.

I earn less than 10k, hubby earns about 90k. We get no child benefit. I save it up over the year and then he sends it back with tax return. It was really useful for extras like swimming lessons and uniforms and he already pays 40% tax.

I keep claiming and pay back as I read that it could affect my right to a state pension in the future if I cancelled.

We got given it when we had no money coming in, then told to pay back £4000 when my dh got a job. We told them what we could afford and pay it back at £20 a month. It's the only major debt we have and we certainly weren't told when they handed it out!

You can claim but opt out of payment and that also protects your NI credits

If you are earning that amount a year why the hell are you claiming child benefits that’s just greed.

Claiming benefits when you husband earns 90k a year. No wonder the country is in the state it is.

I don't claim - I assume that as DH and I both earn high salaries the NI credits point is moot?

I earn less than 10k, hubby earns about 90k. We get no child benefit. I save it up over the year and then he sends it back with tax return. It was really useful for extras like swimming lessons and uniforms and he already pays 40% tax

Are you saying on 100k combined salary you can’t afford extras like swimming lessons?

Child benefit isn’t supposed to be “really useful” or pay for kids hobbies. It was designed for SAHM back in the days when they were completely financially dependent on their husbands (as in no bank accounts, no own cards, no access to money at all) so they could pay for essentials should their husbands choose not to give them access to money.

You need to check your privilege.

I’m on 25k, my husband is on 10k. Child benefit sometimes means the difference between having money to fix the washing machine or pay the winter fuel bills. It isn’t a “useful extra” for us, it actually makes quite a big difference.

I don't claim - I assume that as DH and I both earn high salaries the NI credits point is moot?

Depends whether you’re sorted pension wise and whether the 7k or whatever state pension will make a difference to you in old age.

It’s pretty clear in everything I’ve ever read. If one if you choices not to work as other can support, that’s a choice you’ve made as a couple.

Yes I knew, when I found out I contacted them and we had to pay a few thousand pounds back a few years ago. In our case husband went over the £60k, I earn £12k part time. Our friends earn £45k and £40k so can claim it for all three of their children. Seems a bit unfair but that’s how it is.

I just found out about this yesterday and been sweating over it as I have a company car. Came in in 2013 and I think now HMRC are starting to clamp down on it and ask for the money back

Threatmatrix - we're on a combined income of about 100-105k (45k+ for me and 55-60k for DH) but still claim child benefit and will do so until it becomes pointless (ie when one is us is well over the threshold). Call me greedy if you want but it has been handy at times. We're not poor of course but we're not wealthy either. I don't see why we shouldn't claim it as long as we're able to. Nor do I imagine there is a massive difference betw us and the pp above with a joint income of 10 + 90k but differently spread out. Especially as her DH must pay loads of tax as it is..

It is a totally shit system but I don't get how anyone can be unaware. It was all over the news when they made the changes and still regularly pops up.

Oh and I am not too concerned about what child benefit is "meant" to be for. And yes it can be useful for some people. But necessary for others. It is what it is.

Yes, remember it coming it, but have voted YANBU due to the unfairness

Anyone not contacted the child benefit office to fess up and still received a letter demanding payment? Seems to me that someone could feasibly have had a child a few years ago while below the threshold, so didn't think anything of it at the time. When they realise they've been receiving it in error they contact the child benefit office and then, bang! They hammer you with a big bill. Doesn't do much to foster honesty does it?

It’s grossly unfair that a household income could be £98k and they get the benefit and another’s be £51k and they don’t! The government is all kinds of wrong on this and many many other things (don’t get me started, I’ve been looking at legislative company reporting this week and the governments guidance is piss poor and worded to trip you up so they are fully in my bad books)

Also, if pension contributions are taken into account, which they are, then you may not even know when you've gone over the threshold for payment.

It’s not a charge though is it. It has become a means tested benefit albeit stupidly applied. Recently changed job moving me above the threshold, phoned and suspended payments. As it was part way through the year I then had a self assessment to do for the adjustment. Not hard and used the opportunity to claim tax relief on private pension contributions, gift aid and professional membership subscriptions and in the end paid less than £100 back. Well publicised so no excuse even 6 years after it being brought in. Far easier to resolve than working tax credit thingy which took forever to resolve (and cost more). Think how it’s applied is still stupid though as our household earns a lot less £99,998.

Pension contributions are not taken into account. Either directly removed if salary sacrifice or deducted afterwards on tax return. I've increased DH's voluntary contributions by 10percent to avoid /mitigate the CB tax.

Might have been well publicised but it tends to pass over you if you're not affected by it at the time. I only vaguely remember hearing about it but we didn't have any DCs at the time, now not near the threshold but if I'd miraculously got a huge promotion, without this post it wouldn't have crossed my mind.

Sorry @oblada that's what I mean. So you could have avoided the CB tax through pension contributions but subsequently received a pay increase that pushed you above the threshold but you may have thought you were ok because you were salary sacrificing pension contributions based on a percentage of income. You wouldn't necessarily know you've gone above the threshold if you're paying into a pension.