Right so I’ve just spent an hour on hold to various departments of the helpline and I’m not really anywhere further forward.
Long story short I am employed and am currently on maternity leave with my first baby and am due back to work in the summer.
I am also director of my own limited company, however this is only a recent appointment (approx. 2 months ago). The company is not yet turning a profit and I had intended to pay myself via dividends once there was any profit.
I need to reserve a nursery place for my child and they want a deposit to this of about £450. I had hoped to be able to pay for this via tax-free childcare, however it looks like I’m not eligible as it’s more than 31 days until I go back to employed work in my regular day job. Oh and the nursery want the deposit before the end of January or we will lose our place.
The woman on the helpline said that they won’t count dividend income towards the minimum income threshold, only employed income. Therefore I would have to be employed by my own limited company.
Theoretically this would be fine but my company isn’t yet turning a profit so wouldn’t be able to pay me anything!
Does anyone know can I be employed by my own limited company on a zero hours contract and then be eligible? Because the guidance also seems to say that if recently self employed that the minimum income rule won’t apply. But then I guess being employed by my own company isn’t the same as self-employed…
Seems like a total farce really! 😂 But please if anyone can shed any light please?? Or Share their own experience?