I'm really confused about my tax credits due to starting work.
Basically I was on income support & then jsa last year. I began work on 27 April 2015.
I rang and told tax credits my change in circumstances and that I has started work.
I now work 27 hours a week, earning £6.50 a hour.
I told them I estimated I would earn £9126.00 (I realise now this is slightly higher as I worked it our for the whole tax year however I had started work 3 weeks after the tax year began, it was a silly error!)
Anyway I received my provisional tax credit award.
And it states I will receive:
£76.96 WTC
£63.60 CTC
And that they had already made a WTC payment of £206.34 (I presume this is a back dated payment as I've waited nearly 3 weeks since telling them I've began work)
Anyway it says they have used the income £4126.00 to calculate my award I assume this was my last years benefit income total, and that they will use my £9126 figure to calculate payments from 6 April next year.
So basically does that mean I will have a over payment?? I get they use your previous income for this year but cause my income had gone up a lot I thought they would adjust it and use my actual income or something.
It says from April next year my provisional working tax credits payments with be £55.03.
I feel so confused, I can't call them till Thursday really. But this kind of thing really worries me. I've had a £500 overpayment from them before and the stress made me so ill I really don't wanna go through that again.
So does any of it sound correct or does it sound like I will have a over payment cause they are using £4126 rather than my actual earnings for this year.
Sorry it's so long, I just tried to explain it all in one go.
TIA