Money - how do you all do it?

[Ewe]

I am a relative recent lone parent and still on mat leave and going back to full time work in September. Now I earn a decent salary but it just doesn't cover the basics, having looked at entitledto.co.uk it seems I am not eligible for any tax credits etc.

Do I have any other options? Am happy to break down earnings/outgoings if it would help but at the moment it seems like I can't afford to work. So what happens, am I supposed to just go on benefits?

[Ewe]

He is payin 300 p/mth in maintenance. We've just had a massive row so he's not going to be any help now

[Zebraa]

Oh no! It's a tough situation you're in but not impossible. You're obviously tired tonight so tomorrow, why don't you get in touch with your Aunt and ask if she can maybe commit to one day, and perhaps another relative for another and already you've cut your nursery fees down. You will be entitled to childcare vouchers, as mentioned. Also, bills, evaluate how much you spend and try to see if there is anyway of cutting down. If you have a shower run on a separate tank, maybe don't have your hot water on and boil the kettle to wash the dishes (I know this isn't making a massive difference but if you can get your outgoings down even a little bit, you'll start to feel better).

Shop around for your service providers, make sure you're getting the absolute lowest gas, electricty, internet offers etc.

Also, ask family members to do a bit of washing and stuff for you, it all brings down your bills.

I think you need to get in touch to see how much you can claim. Small steps till you find your feet.

[charliecat]

whats the thing with tax credits and maternity pay? Anyone know? Might help ewe, do you not count it or something??

[Zebraa]

How are you feeling this morning Ewe? Is your head a little clearer?

[Waspie]

I have one child aged 9 months, my salary is similar to Ewe's and I get tax credits of over £60 pm until my son is one year old and then it drops to about £30pm. He's at nursery 3 days pw atm but this will increase to 4 days next month when I run out of annual leave.

I have taken advantage of the flexible working arrangements (which I think the Govt says all employers have to if you have a child under 6) and I will be working my full hours but over 4 days per week.

I can just about manage the fee for 3 days nursery (about £600) but I'm worried about how I'll cope when this has to increase to 4 days (an extra £200 pm).

I get no help from my son's father either despite asking continually and the fact that he supports his eldest child (previous relationship). But for some reason he thinks that he doesn't have to support my child because I earn a good salary and have a good job! but that's another rant for another time

[Waspie]

oh and tax credits and maternity leave...

They do not count £100 pw for each week you are on maternity leave from your annual salary (as per your last P60). so, for example, I was on maternity leave for 26 weeks so £2600 was ignored from my gross 2006/7 earnings.

[Ewe]

Wow, I just called the tax credits and I'm entitled to £197 per week!!! This will change when I start hitting bonus again but that prob won't be until April hurrah!

[Zebraa]

GREAT NEWS!! Congrats!

[HolidaysQueen]

That's excellent news, Ewe

[Ewe]

I am sooo happy

[chocolatespiders]

you earn 40 k and will get £197.00 a week tax credit??

I earn 10k and get £100 a week tax credits and i have 2 chidren?

somehow doesnt add up

be careful they dont overpay you as you have to pay it all back

[SmallShips]

thats ALOT of tax credits. Are you sure thats right?

[charliecat]

That is a big amount of tax credits.

[IllegallyBrunette]

I agree that is alot.

I recently worked out my entitlemet for if i was working 16 hours a week at minimum wage. I have three children and the result was a total of £196 a week for CTC and WTC.

[Ewe]

For this tax year I will only earn 20k so they take that into account and that is what it works out at. Will go down in April. Can only assume the lady on the phone was correct but we shall see! Think it's so high because my childcare is about £1100 p/month.

[chocolatespiders]

yes you will get lots of the childcare paid.. which is great...

they normally go on the previous tax year so april 07- april 08..... were you working last year?

[Zebraa]

Ewe, where do you live? I'll look after your baby for £1,000 per month, he he! Blooming 'eck!

[Ewe]

I was working last year but if you're going to earn less in the current tax year, or indeed, 25% more they base it on predicted earnings for 08/09.n

[carrielou2007]

I do not think that tax credit etc is anywhere near right, when I earnt a similar salary I got 81 per month on mat leave and when I went back to work and paying 600 a month registered childcare I got 81.88 (yup 88p more) Reduced my hours, salary approx 28K I get just over 200 pounds per month now and I get no help at all from DD dad.

[Ewe]

Income from child benefit and from maintenance payments is not included in income for tax credits. Online works it out as slightly less at £181.

Period:06/04/2008-15/03/2009 annual £ weekly £
Initial Tax Credit award for period: £8,931.99 £181.76
Working Tax Credit: £5,932.31 £120.72
Child Tax Credit: £2,999.68 £61.04

Final Tax Credit award for period: £8,931.99 £181.76
Working Tax Credit: £5,932.31 £120.72
Child Tax Credit award: £2,999.68 £61.04

Maybe yours isn't being calculated correctly?

[carrielou2007]

Mine will be less as they take into account and reduce it for savings. I earnt a good salary so I always saved for a rainy day. It has since poured and poured and so have had to use my savings to top up my salary. If your salary goes down during the same tax year, they do not inc your payments until the end of the tax year. Also my dd is now 19 months old so payments do go down when bubs reaches one year.

[chocolatespiders]

You said you currently earn 40k... and it barely covers your outgoings... does this figure include maintenance and child benefit

so it isnt what you earn doing your job?

[chocolatespiders]

Carrielou- i didnt think they took into account savings, i have never been asked about mine.... have for Housing benefit but not tax credit> I think the current system has some massive flaws.... I thought it was there to bring people on low earnings up to a reasonable level of income..

[chocolatespiders]

Carrielou- i didnt think they took into account savings, i have never been asked about mine.... have for Housing benefit but not tax credit> I think the current system has some massive flaws.... I thought it was there to bring people on low earnings up to a reasonable level of income..

[carrielou2007]

They do ask about savings, anything under I think it is about 8000 they do not need to know about but more than that they do. As I say, I had a good salary before having my dd, so having to pay the same amount of bills but with a salary considerably lower means I have to use a bit of savings every month to help with the morgage.

My friend who is a nail technician sadly splitup with her partner, had to move out quickly and went into rented house, had her rent paid and received nearly 600 per month in tax/child credts. Her children are 14 and 16 so no childcare and she was telling me how wonderful it was (she earns about 22000 per year). Not what you expect is it??!!