To feel annoyed about child benefit threshold?

[Mirenda]

I earn not far over the threshold to claim child benefit so am not going to put in any claim.

Maybe it seems completely unreasonable to many but given the large amount I pay in tax and NI every year, I feel annoyed that we get nothing back for this, especially with costs of absolutely everything going up.

If we could claim it, we would use it to fund baby related groceries or the heating bill in winter, both of which can be quite expensive.

I don't understand why the threshold can't be more towards 100k mark like the childcare costs threshold as once you're into six figure salaries that's a different ball game (although those people also pay hefty amounts of tax so why shouldn't they see something for it too?)

I expect to be slated for daring to question any of this as someone who earns a comfortable amount but when you've put into the system over the years, it would be nice to get more back when it's for your child.

I have a very wealthy elderly relative who still received the government's pensioner cost of living payment last year regardless of her massive income. They didn't means test that but they will set limits and thresholds for benefits for children rather than make it more universal.

Many of these households are really struggling to cope and could do with more. However many of those households will also have as much or more disposable income as a single mum of 2 on £55k in London, with far, far more time for leisure or training.

I completely agree with this. If you are someone on a higher than average income and struggling you are mocked and told to budget better. But if you're on a lower income and on benefits then you get all the sympathy and posters who mention budgeting are called cruel and out of touch. However the disposable income could be exactly the same amount.

The thing that troubles me is that you can have two parent earners on £59,999 each - they would be entitled to some child benefit, with a household income of £119,998.

But two parents earning say, £60,000 and £15,000 - they wouldn’t be eligible.

Then you could have a single parent on £60,000 - they also wouldn’t be entitled to any child benefit.

I think it’s unfair and should be assessed on total household income, especially as they take partner’s income into account.

As a single mum of 2, living in London, earning £55k (4 days pw to save on childcare costs) it boils my piss frankly that I don't get the full whack plus other support.

Compare a single parent earning 60 k a year who doesn't qualify for child benefit with a couple each earning £49,999 who are getting £24 a week for their first child. Who is poorer in that scenario? I'm pretty sure that £24 is more valuable to the single parent.
What is it that you don't understand?

wow.....

firstly - you're not actually taking home £1,100 a week, more like roughly £843
secondly - have you seen the prices of rentals these days?

How many people is that person on £60k supporting, at least 1 non earner (the child)

Why are you so bitter?

CLAIM CB BUT REFUSE THE PAYMENT.

No idea if anyone’s mentioned it, but if you stop claiming CB you will loose your NICs so may not be eligible for state pension.

If you don’t claim, you remove yourself from the system as it were. There’s a box to tick somewhere on the ridiculous form that means you still get NIC credit but don’t receive the payment so no faffing about with repaying via wages etc.

Your original quote does not say that though.

No idea if anyone’s mentioned it, but if you stop claiming CB you will loose your NICs so may not be eligible for state pension.

Won't OP be paying them anyway?

@NewNovember what I was trying to say that everyone's situation isn't exactly the same. People might have a higher cost of living due to health issues so that £24 a week extra could make a huge difference to people's lives not because as has been suggested on this thread that they're buying too many bottles of wine each week.

Agree the threshold should change
Alongside all the tax thresholds

There are a few people on this thread who think someone earning 60k salary takes home 60k

Lots of underestimating the amount of tax paid by higher earners which funds everyone else

Really?
How did they manage to accrue my state pensions before I had DD then? Why is the system so bonkers!

Your post twisted my words totally and you completely misquoted me. You even used quotation marks. You can disagree all you like but do not misquote me and say or imply things I didn't say.

Its become largely a waste of time to try to take the time to correct them.

The handout mentality in the UK has reached unsustainable proportions.

These folks seem to be under the impression that higher earners exist just to pay a lot of tax so that they in turn get access to benefits.

Apparently, we are not allowed to receive any benefits as higher earners because that would be "unfair". The convoluted logic is just amazing.

Thats why the UK keeps being levelled down.

Over half the population in the UK are now net recipients (receive more in benefits vs what they pay in as tax) with the top 10% of higher earners (£62k and above) paying 2/3rds of income taxes.

Totally usustainable.

I totally agree with you 24Karatcucumber

Your post twisted my words totally and you completely misquoted me. You even used quotation marks. You can disagree all you like but do not misquote me and say or imply things I didn't say.

The point I was making was that most people could do with help during the cost of living crisis (even those with no children). Especially those that may have paid LOADS of money in taxes in the past and have never taken out for anything. I know a lot of people who made crazy money, paid lots of tax, never had kids, have now fallen on hard times and get no help.

@Panda89 i have no idea! I know that when I went to Uni (years after leaving school and after having started working) HMRC contacted me to say I’d be short on NICs so may lose eligibility for pension. It is a crazy system. I assume that they want to ensure women still get their pension even when they’ve been off work so tagged it onto CB as it’s a universal benefit so everyone would get NICs…unless you’re not claiming CB because you’re over the limit.

I found out about it on MN so always post it when one of these threads pops up to spread the info!

My favourite is the statement "it's not a race to the bottom".

Of course it is.

The money (or more specifically the wealth) has to come from somewhere. You can't create wealth out of nothing (money is a different matter), unless you live in some sort of socialist fantasy land.

If one person is getting more, then another is getting less.

So yay, higher earners get more child benefit. Who is going to pay for that ?

"the rich". ie everyone who is richer than me.

The rich are seemingly this endless depositary of wealth, that can and should be squeezed more and more to transfer wealth to the poor.

There are limits as to how far you can go with this strategy. The question is how close we are to those limits.

I absolutely agree!
I do get child benefit because my income is less than 50k, but that is all I am entitled to. It makes me very angry.
Universal credit is literally the goose that laid the golden egg of benefits. It is the gateway to literally everything.

Why should my children suffer because I made the right choices in life? Saved, bought a house, paid extra towards my mortgage etc. I am on a very low income and the extra support would be very welcomed, but unless I debt up my property and spend my savings it ain't happening.

This is wrong, the way they dish out benefits to people that have no clue about making responsible life choices. It is people like me who's taxes literally pay for it all. To get absolutely nothing back is soul destroying. Makes me wish I hadn't bothered!

With an aging population, which means way less working people (c10% of whom pay 2/3rds of the tax) relative to net benefit recipients & retired people (who are very costly due to healthcare, social care, pensions etc. and do not pay in much either) we have reached that point.

In fact, what is happening now is that we are borrowing to fund those benefits, as we do not have enough people paying in tax (with higher earners basically being maxed out).

Its the end of the line basically.

People who don't have children pay taxes that contribute to your child's schools, is that fair? You have failed the test for a means tested benefit, get over it.

The fact we think 60k is a good salary and you're a rich bastard if that's what you earn just goes to prove how our lives are getting worse and worse.

60k is roughly 3.5k a month...where I live a three bed house costs £2,500 a month to rent. Let's say you are a family of four...you now have £1k left to pay council tax, gas, electric, food, travel, water, etc etc. Ok so let's say you rent a two bed house and your kids share a room instead. £2k a month...you now have £1.5k left a month. Now I have two kids and we spend £200 a week on food at the moment and that's being careful and shopping at Lidl.. council tax is £160. Gas and electric is £300. There are also numerous other essential bills...water, travel etc.

Hardly living the high life. You could easily be struggling on 60k a year.

Well to be honest we have borrowed for years.

I think what Truss did scared the hell out of the government financial people and they have rolled back the borrowing a bit. But no doubt it will continue in the future until the markets say no. What is more interesting is whether the borrowing is being eroded faster by inflation at 10% than the rate we are increasing it at, but that will probably be reflected in increased borrowing costs.

I don't think any government going forwards is going to be able to borrow much more money than they do at the moment. That's why Tories or Labour it is more about re-arranging the deck chairs on the Titanic than coming up with any fundamental change to the way the country operates.

My feeling is that we should hike inheritance tax hugely and make it unavoidable. That way the people who have benefited most from the massive borrowing pay for it, at a point in their lives where they don't need the money. But there are squeals of outrage every time this is suggested.

And yes, we have become a nation of people who believe in entitlement rather than a nation of people who believe we should give something in order to get something back. It's not going to end well.

And contribute to much more and don't reap any benefit whatsoever

Monetarily I mean.

If your take home pay was 3.5 k and you were renting at 2.5 k in an area where that was typical of rent prices eg London then you would be entitled to universal credits to help with the rent Check out entitled to