Meet the Other Phone. Flexible and made to last.

Meet the Other Phone.
Flexible and made to last.

Buy now

Please or to access all these features

Money matters

Find financial and money-saving discussions including debt and pension chat on our Money forum. If you're looking for ways to make your money to go further, sign up to our Moneysaver emails here.

I can't get my head around future finances!!

2 replies

TheDetective · 21/02/2012 13:24

For the first time in my life, I simply don't understand what I am 'entitled' to by way of wages and or/tax credits.

I don't know if it because of all the changes coming in April, or if it is me being completely thick. All I want to do is forecast our finances for the next 18 months/2 years. I know we won't know what the figures for thresholds etc will be, but I just want a rough idea.

Can anyone help me with the figures here? Currently I earn approx £33000, it goes up by roughly £1000-1500 a year. Dp earns £10000. I have one child, who I receive CB for. We get no tax credits now.

We are planning a baby, TTC now would leave me possibly due early November, which is 6 months left of that particular financial year.

While on ML I would earn 90% of salary for first 8 weeks, then 18 weeks at 50% of salary, plus SMP. I have worked out that for these 26 weeks, I would earn £13217. For the previous 6 months, I should have earned £16500. That totals roughly £29717. Our total income for the year 2012/13 should then equal £39717.

DP is taking the remaining 12 weeks as SPP. That would take us in to the new financial year however, meaning that in 2013/14 I would earn £34000, DP would drop his hours and his total earnings including SPP in that year would total £6235. Our family income would be £40235.

I'm not hedging my bets on being entitled to anything, but the bloody calculators (entitled to and HMRC) are giving me different answers, and I would just like to get an idea (to know how long we are going to be on a tighter budget for!!)

Oh, and to complicate matters, from July 2013, weekly childcare costs of £35-40. We would buy childcare vouchers for those through my employer.

What really confused me even more was trying to work out if the ML was spread over 2 financial years! The calculators just got even more confusing!! So I'd best conceive this month, and pray not to have a late baby then I guess!

Cabbaged. Head. (It has helped to write it down however!)

OP posts:
TheDetective · 21/02/2012 13:32

Oh fuck, my maths is shit! Will actually work out as 5 months of 2012/13 and 1 month of 2013/14. Fuck it, what will be, will be eh? Buries head in sand. I was trying to be financially responsible, but its just too damn complicated!

OP posts:
CogitoErgoSometimes · 21/02/2012 14:12

Your household income is currently £43,000 which means you won't qualify for CTC in the 2012/13 tax year when the thresholds are going to be £26,000-£33,000 depending on number of children. Even if your ttc efforts are successful and your annual household income drops to £39,000 you're over the thresholds. You will still qualify for CB because neither of you are paying higher rate tax.

I would suggest you assume you will get no additional money from the state beyond CB, budget accordingly, but fill in the forms anyway just in case.

New posts on this thread. Refresh page
Swipe left for the next trending thread