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Original poster

Tax credits as a single parent - does this sound right?

45 replies

Myownperson · 03/10/2016 20:35

I have completely fucked up getting benefits. Left husband couple of months ago. We split savings. I have since used part of mine on solicitor fees, house refurbishment in a new home, paying bills etc. H paying child maintenance (above required rate).

Money I have left is well under the £6k limit for income support. But i have still been on the joint account which has much more in it - but is Hs money. I haven't had decision yet but not expecting to get income support due to officially being on that account.

So i have tax credits to live on which cover bills and not much else. and top up money to last a couple of months.

Its a joint mortgage so I'm not expecting help with that.

So I really really need a job. I haven't worked in years so clueless about how employable I will be but working on it. I have tried the online benefit calculator and for a random £20k salary it seems I could be entitled to £1000 per month tax credits. As it's theoretical I had to make some data up, like pension contributions etc. Does this sound like it could be right? It sounded a lot to me.

Will CAB give me help on this? I mean more than just how to make an application?

Any thoughts very welcome. For the record, I am really keen to work but it could take a while and one of my DC is a toddler so would need to find childcare.

I had a fantasy about claiming income support for a while and throwing myself into finding a good job but realistically I'll now settle for any job.

OP posts:
NameChange30 · 03/10/2016 21:45

"I like your confidence that I'd have a job before the mortgage interest help kicks in!"

Well given that it doesn't kick in for 39 weeks, you do have time Grin

Do you have an agreement with your husband for child maintenance (and maybe spousal maintenance too?) or are you working on that atm? Legally he should be contributing - hopefully your solicitor advised you on that.

Original poster
Myownperson · 03/10/2016 21:54

Yep. He is paying double the child maintenance rate - basically protecting his interest in the house.

I could get half of that converted to spousal maintenance - solicitor is confident she could secure that long term. But if I do that then I'd lose IS altogether and still be short if I don't get a job.

If I do get a job then a spousal maintenance order would be better long term.

OP posts:
NameChange30 · 03/10/2016 21:58

So the house deeds and mortgage are still in joint names? Are there plans to sell and split the equity or are you hoping to stay there?

How many bedrooms? If you have a spare you could consider downsizing or getting a lodger.

In your position I'd get what I can in terms of house equity and spousal maintenance. In some cases the arrangement is for the resident parent to continue living in the house with the children, with the non-resident parent continuing to pay a share of the mortgage, until the children leave home.

Original poster
Myownperson · 03/10/2016 22:14

Both names. Even if I earned what I did 7 years ago - which I won't - I'll never be able to buy him out. Plan is we sell and split equity when kids are 18. Its small no room for lodger (small city centre house)

I can't downsize. I would not get enough mortgage by myself. I could sell and rent to free up some cash but would quickly disappear. rent for 2 bed flat would be more than mortgage for this house because it has a reasonable chunk of equity.

Infuriatingly we bought whilst splitting. I would happily have got something further out and smaller which I could have taken over at some point but he refused and he was mortgageable not me.

Anyway, here I am in the house I can't afford but it's a great deal better a situation than many leave in.

OP posts:
NameChange30 · 03/10/2016 22:18

Is he still living in the family home, then? Is there a mortgage on that? There must be a fair bit of equity.

I found it astounding that he dictated which house YOU should live in. Presumably you got legal advice after that house purchase?!

Anyway. It is what it is. But by the sounds of it you need a good solicitor, you need to follow their advice, and you should get a good enough settlement not to be worrying about income support.

AndNowItsSeven · 03/10/2016 22:23

My taking your name of the joint account they will most likely say you have deprived yourself of income. You have to show you didn't deprive yourself for the purposes of obtaining benefits.
If you can't you will be assessed as if you have the money.

Original poster
Myownperson · 03/10/2016 22:33

Yes, whenever I have doubts i remember that even at the end he dictated where I live. I gave up fighting him on it. No point thinking about it now. I wasn't in a good place. You posted back then and were very helpful but I do recall you getting very annoyed at me Grin.

No he hasn't a mortgage. Not as well off as we sound. We were in a fancy rental as we'd relocated cities. He's still there.

He earns fairly well and once I'm earning a while he will most likely get another mortgage and be on both.

Anyway, it is what it is indeed. It could be a lot worse.

Thanks for your thoughts tonight. Off to apply for child benefit.

OP posts:
NameChange30 · 03/10/2016 22:35

"You posted back then and were very helpful but I do recall you getting very annoyed at me Grin"
Oh dear! I do that sometimes! Well as long as you're Grin about it now!

After you've applied for child benefit you can ask them to backdate it for 3 months. Every little helps Smile

Original poster
Myownperson · 03/10/2016 22:35

AndNow that's what I figured although I wouldn't have known how they phrase it. And it makes sense.

OP posts:
blurredlines · 03/10/2016 22:46

Just be very careful regarding tax credits. Theres uproar at the moment with hmrc carrying out credit checks and If they find any financial ties they investigate and can stop payments . They can ask for bank statements , mortgage statements etc . Child maintainable isn't counted but spousal support is. There are threads of people who can't pay childcare fees because tax credits have been stopped .

NameChange30 · 03/10/2016 22:46

Oh I remember now! I thought your username was vaguely familiar... you name-changed didn't you...

I've just re-read the thread and I would like to defend myself, I didn't get annoyed, just rather insistent that you should call Women's Aid Grin

I'm so glad you got away. Now divorce him and get as much money out of him as you bloody well can.

Original poster
Myownperson · 03/10/2016 22:59

Thank you blurredlines I will try and keep myself right. I hate to sound like I'm playing the system. I have no choice but to try and get what i can right now. Hopefully it won't be for long.

OP posts:
Original poster
Myownperson · 03/10/2016 23:06

It was all helpful Emma Smile Not sure I'd want to reread that thread!

Getting there. Thanks.

OP posts:
Original poster
Myownperson · 04/10/2016 13:03

Oh dear Emma. I just saw another thread you were posting on in relationships yesterday before I joked about you getting annoyed at me. I meant that in a light-hearted way which I hope you realised. I'm sorry a flippant comment sent you looking for the thread. You were always very kind and really helped. I wouldn't have got through without the time taken by you and a couple of others. Thanks again

OP posts:
NameChange30 · 04/10/2016 13:52

Thanks for your kind words, I'm so glad you found my messages helpful Smile

Don't worry about your comment, I realised it was light-hearted Smile I did get rather exasperated on the other thread but won't go into it here!

Have you had chance to apply for Child Benefit yet? That should be an easy one (compared to IB and CTC, anyway!)

Original poster
Myownperson · 04/10/2016 14:23

No printer so will go to the library to print CH2 form when DC2 wakes from nap.
(Unless I'm missing it there isn't an online application process)

Job search is much more challenging!

OP posts:
Original poster
Myownperson · 08/10/2016 08:18

Then once you have a better idea of possible salary and childcare costs, you can ask CAB to do a "better off" calculation to see how your benefits would change.

Emma, if you are reading...quick question please, is that calculation you refer to the one that the entitled to website includes? I hadn't paid attention to it before but it sounds like a very useful calculation.

OP posts:
NameChange30 · 08/10/2016 08:36

Hi OP, yes I think the entitledto "better off" calculator is basically the same as the CAB one, different software but same principle. With CAB you'd have an adviser to check and explain it and answer any questions you might have. But the entitledto calculator is handy if you just want to get an idea of the sums.

Original poster
Myownperson · 08/10/2016 09:04

Yes, will definitely visit CAB once I'm a bit further on. Thanks.

OP posts:
Original poster
Myownperson · 19/11/2016 15:08

Just a quick thank you for help and in case anyone searches for similar.... An update. (I remember reading every thread I could find earlier in the year.)

I have had the full income support payment and the payments started very quickly.

Child benefit has just this week been paid but was backdated as Emma said.

Child tax credits that I thought were the most straightforward havent yet paid anything. Painfully slow. I'm hoping they will make a payment before Christmas!

I've also had a huge reduction in council tax.

All in all the calculations up thread were accurate. (Fingers crossed they are for tax credits.)

OP posts:
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