Anyone know how tax credits would work with irregular hours?

[krepsly]

I've just got a job as banking staff/care assistant. For those that don't know banking staff is where you pick up the odd shift here and there - you can either request shifts or they call you and ask if you can do a/b or c

So anyway I have two choices. I can now either sign OFF job seekers allowance and try and ensure I get 16 hours a week (in order to get working tax credits) or I can stay on JSA and make sure I work UNDER 15 hours a week.

I'd obviously rather sign off but how would working tax credits work with irregular hours? What if one week I manage to get 16 hours but the next week I only get 8? Has anyone any experience of this?

IIRC you would estimate your income, but of course, if you go over this you could wind up owing HMRC.

Which is why banking/zero hours contract/'as and when' is such a bad deal for those who need tax credits as they are low income.

Tbh i'd say it would be an absolute pain in the ass, sorry.

I looked into this a few times when I was job hunting and in the end I just couldn't take the risk.

I am now doing set hours, but tax credits have still cocked up and now I am on £60 a week less between now and the end of June

I know what you mean, I'd just much rather do that then go and "sign on" every two weeks. I hate it that much.

So say if I estimate my income at say £88 a week (16 hours, minimum wage) I would get working tax credits for this amount but at the end of it all, if I was wrong I'd have to make up the difference?

That sounds ok, it's only a temporary thing until September :)

I've done it & they go off average earnings/hours. So you can do a few weeks of 30 hours then a few of 10 but you need to know the work is going to be available and not just 3 shifts a week split between 4 people.

It's not easy & probably worth over estimating your income so they under pay you rather than be over paid

Yes, if you underestimate you'll have to pay the difference. But if it's only temp and then you can save up if need be you should be okay.

I was thinking of staying oon JSA for a month and just doing one shift a week until I get a feel for how many shifts COULD be available if I could do more. After a month if I can up my shifts to at least two a week I'll sign off JSA and rely on working tax instead.

That sounds like a plan.should be worth a chat with your boss too.