tax credits

[anyoldname76]

as its coming up to renewal time soon ive been wondering if ill get anything back off tax credits. basically i gave them my earnings for this year (estimated - i had changed jobs) and when my award came through they had added an extra £2500 on top of my projected earnings. i phoned up to query this and they said due to not using the previous years earnings they would be using their figure until this Aprils renewal. anyway as predicted my earnings will be as i estimated, ive been reading about the disregard and im not sure if that means i wont be getting a lump sum.
could anyone in the know shed any light on this for me as im really confused, thanks

If your earnings have gone down, you'll get a lump sum equal to (old earnings-new earnings-£2500)*£0.41, with a floor of £0 (ie. If the change is less than £2500 you won't get anything extra, but equally won't have money deducted).

thank you, it isnt that they have gone down as such, but they have added £2500 on top of my predicted earnings, meaning my tax credits for the year have been lower, i was just wondering if i would get a payment back but i dont think i will

Why don't you get anything if it's less than £2500 difference?

i dont know nicnacks, im very confused about the whole thing, i was hoping to get something back but due to the disregard im not sure i will, i went on entitled to and the difference of what i am getting and what they worked out is about £30 per week, its been a really hard year and this year doesn't seem to be improving as the company where i work loads of contracts have ended and they haven't won the tenders for them

Because the Govt. has decided that you should be able to absorb a loss of £2500 without an increase to tax credits. £2500 gross earnings equates to £1025 in tax credits.

If your earnings haven't changed but they have added on the £2500, you could get a lump sum. It depends why they added it.

Oh. I'm self employed and gave an estimate of £12000. I ended up only earning £9000, we could do with the top up but it seems we ring get it . I'm actually better off under estimating my income.