Can you claim tax credits with a mortgage and self employed?

[Lottiebugz22]

My brother owns a home and is self employed full time. He has a newborn and his partner has no income. Is he entitled to any support?

It depends how much he earns! If he’s self employed and earns 50k no - under 25k then perhaps.

He might be in an area with universal credit, best option is to go onto the government website entitled to - put the figures in and see what it comes out with

Isn’t his partner entitled to maternity allowance | stat mat? Or didn’t she earn in pregnancy either?

Tax credits mo longer exists for new claims.

They would need to make a joint claim for UC.
They would not be entitled to housing costs as only rent is covered in UC not mortgage payments but would get the couples amount plus child element.
They then deduct his earnings from the UC award and pay what's left.

It also depends why she has no income, is she eligible for ESA or pip for example? That may affect the amount of the award. They would likely need to make a joint claim for tax credits. He should make sure they are getting child benefit too, assuming his income doesn't take them over the threshold. Whichever of them claims it, it also covers national insurance contributions so eligibility for state pension.

Sorry, a joint claim for universal credit as a pp correctly mentioned.

They would need to claim Universal credit. Any entitlement would depend on their age, rent and his earnings. Uc is not great for self employed people especially if they have been self employed fro more then 12 months as they are treated as if they are earning a minimum income floor even if they don't make much profit.

Mat pay?

Would have to claim UC jointly. Until child is 12 months the main carer would not have to look for or prepare for work. The self employed person would need to attend a further interview after all ID confirmed for both called a Gateway Intervention which is about the self-employment. If the business was started longer than a year ago it is likely a Minimum Income Floor will apply which is based on the number of hours the person is available for work x minimum wage. If available full time this would be 35 x £8.21 (if over 25) = £287.35 x 52 and divided by 12 to get the monthly figure. Allowing for some adjustments the MIF would be £1144.15 per month and this would apply from the outset of the claim. So If monthly earnings were less than this then the MIF would be used but if earnings were more then the higher figure would be used. He would need to report his monthly earnings through his online account at the end of each Assessment Period. However as there would be no rent element awarded they would have the higher work allowance of £503 applied and the income above this would be taken into account at 63%.

So a simple calculation would be (and I'm rounding to make it easier)

Couple. £500
1 Child £277

Total £777 per month

MIF applies = £1144 LESS £503 = £641 x 63% = £403.83 taken into account

Monthly UC Payment = £777 - £403.83 = £373.17

Child benefit and UC if on a low income.