Active discussions

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

Talk
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.

Original poster

Child benefit nightmare

135 replies

dancingqueen123 · 03/12/2022 12:49

I have been paid this since kids were born. Never thought anything if it, as I thought it was a universal benefit to Mothers.
DH has had a letter saying he's over the threshold. Has been for some time.

I'm really worried. Why didn't they just stop paying us it?!

Will they just slap us with a humongous bill now?
Things are really tight right now. Really don't need this 🙈

OP posts:
lurchermummy · 03/12/2022 13:35

Sadly yes the onus is on you to tell HMRC - we were in this position and had to pay it back. They might agree a payment plan though.

Tygertiger · 03/12/2022 13:37

Shit, this will be me too. I totally forgot I had to stop it. If they don’t agree a payment plan I’m in real trouble, there’s no way I can pay it back in one go.

CantFindTheBeat · 03/12/2022 13:39

How much does DP earn, OP, and how long have you been claiming child benefit?

Jane1727 · 03/12/2022 13:39

This happened to us and we owed 8k. They charged exorbitant interest so we ended up having to get out a loan to pay it back.

Onnabugeisha · 03/12/2022 13:40

Yes you will have to pay it back. You weren’t entitled to the money.

dementedpixie · 03/12/2022 13:41

If he earns over £50k its up to him to set up self assessment and declare the CB payments in order to pay some or all of it back. Between £50 and £60k you pay back a proportion and once you reach £60k it all needs to be paid back.

They don't just stop paying it without you telling them to do so as you are still eligible to claim it.

Googlecanthelpme · 03/12/2022 13:43

Oh nightmare yes this happened to me once due to a bonus I had which tipped me over. I literally didn’t even think of it until I saw a letter from
them. Genuine mistake.

In fairness they were very good about sorting it out, but yes it will have to be paid back.

Hopefully it hasn’t been too long OP? Mine was for about 1500£

dementedpixie · 03/12/2022 13:44

The high income benefit charge started in 2013 so its not new. We ended up having a claim but opting out of getting the payment so we didn't need to pay anything back

Original poster
dancingqueen123 · 03/12/2022 14:32

Why don't they just tell you?
I've had nothing from them.
He's not over £60k
Shit.

OP posts:
Original poster
dancingqueen123 · 03/12/2022 14:33

I have a 10 yr old and a 13yr old.

OP posts:
Hugasauras · 03/12/2022 14:35

Has he been over £50k the whole time?

Outfor150 · 03/12/2022 14:37

dancingqueen123 · 03/12/2022 14:32

Why don't they just tell you?
I've had nothing from them.
He's not over £60k
Shit.

The threshold is 50k. You will have to pay it back, though.

Hugasauras · 03/12/2022 14:37

Calculator here: www.gov.uk/child-benefit-tax-calculator

TiddleyWink · 03/12/2022 14:37

dancingqueen123 · 03/12/2022 14:32

Why don't they just tell you?
I've had nothing from them.
He's not over £60k
Shit.

Sorry to be a bit harsh OP but you’re grown adults and if one of you is earning that money he clearly has the mental capacity to work this out for himself. You can’t expect to be spoon fed through life, you’re responsible for not claiming benefits that you’re not entitled to, it’s not the government’s fault for not seeking you out to correct your mistake!

I hope you can get it sorted OP, but this isn’t anyone else’s fault.

LIZS · 03/12/2022 14:38

If he earns under 60k gross he may well be borderline for repaying anything. Does he do a self assessment tax return? You can still be paid and repay excess by self assessment or opt out of receiving payments (but still get ni credits).

Original poster
dancingqueen123 · 03/12/2022 14:38

Thanks Tiddlywinks that's helpful

OP posts:
Seainasive · 03/12/2022 14:39

Yes that happened to me. I hadn’t thought about benefits in kind like a company car and medical insurance taking me over the £50K limit.

Hugasauras · 03/12/2022 14:42

You could be looking at quite a hefty bill sadly. How much does he earn and how long for? You can do that calculator for each year he has earned over £50k to see what you need to pay back.

Original poster
dancingqueen123 · 03/12/2022 14:42

It's something that's been paid into my account since I had my kids. To he it goes out before I even notice it's come in!

I have a job, kids, elderly parents to look after. I haven't thought about it.

I wish they had just stopped paying it if we had become ineligible. It feels like a letter to say "you can't claim this anymore" might have been reasonable to expect.

OP posts:
Reallybadidea · 03/12/2022 14:43

If he pays into a pension then his contributions to this will reduce his gross salary.

Original poster
dancingqueen123 · 03/12/2022 14:44

I'm panicking now because everything has gone up and we are not income rich.

OP posts:
Original poster
dancingqueen123 · 03/12/2022 14:44

Reallybadidea · 03/12/2022 14:43

If he pays into a pension then his contributions to this will reduce his gross salary.

Good to know thank you 🙏

OP posts:
DenholmElliot11 · 03/12/2022 14:45

Reallybadidea · 03/12/2022 14:43

If he pays into a pension then his contributions to this will reduce his gross salary.

Good point. I also wonder if he can backdate this for a few years - so pay 3 years worth of pension in one go and that will at least take him under the limit for 3 of those years.

It's not just on you though OP. Your dh should have been on it as well.

CantFindTheBeat · 03/12/2022 14:46

It is a complicated method and also created in an unfair way, OP. Two parents could earn £49,999k each and still be entitled to claim the full amounts,

One over £50k and you're then receiving a reduced amount up to £60k when you then receive nothing.

DenholmElliot11 · 03/12/2022 14:46

dancingqueen123 · 03/12/2022 14:44

I'm panicking now because everything has gone up and we are not income rich.

Try not to panic. I'm sure they'll just do a payment plan for you.