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Low(er) income, single parent, any idea on tax credit top ups?

26 replies

dungandbother · 06/10/2016 23:37

I have a job, pro rata I earn well, £38k per annum (3 day week, 20 hours brings it to around £22k).
But as a single parent, I get child care tax credits.

I'm changing my life. Moving out of London. If I took a term time only job paying pro rata £14.5k but less than 30 hours on average per week across the year...

Would I get tax credit top ups? I won't have child care costs anymore. But I would be on a low wage.

Would the children get free school meals for example?
Council tax reduction?

Or do I have to still pay top whack for everything even tho I'm a lone parent on a low(er) wage??? ( I do appreciate it isn't minimum wage and that I am still fortunate)

Any advice?

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Are your children’s vaccines up to date?
dungandbother · 20/10/2016 16:48

I thought I'd pop back to the thread to update because what I learnt may be useful to others.

CAB were frankly useless. Nice but useless.

I rang tax credits.

I can rent my house out. If I make any PROFIT from renting it, I have to declare the profit in the 'other income' category. I can deduct the first £300 a year.

I can sell my house and sit on a whopping pile of cash (yes, no more than £73k per financial institution in case of a crash) and if the money earns interest then I have to declare the interest in the 'other income' category.

Sitting on the cash will generate interest of £2700 ish a year as interest rates are so low. I am allowed to remove £300 from that. And declare the rest.

Renting - well I would probably be in negative if I rented because the mortgage is so high.

So to my new low wage of £14.5 I add the interest of £2400. This is my income. This is what I declare and yes I still get tax credits. My new income is lower than my old job and it doesn't matter what I do with my house be it rent it out or sell it. It's all about how much money I EARN from doing so.

Sometimes I think we live in a crazy world.

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