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Original poster

Changing job part way through tax year

10 replies

Differentnotless7783 · 15/12/2022 22:05

Hi everyone,
I have just changed jobs on 5th December. My previous salary was £26k, new salary is £65,400. I know, big change, no idea how I've achieved this, genuinely.
Anyway, I've notified Tax Credits and am currently wondering about child benefit.
My income April-April is likely to be around £37k. Does this mean I don't need to worry about Child Benefit until next tax year?
And does anyone know what will happen in terms of tax credits? I've declared the change immediately, but obviously from April until now, we've needed them, will I need to pay it all back? Any help welcome, thank you 😊

OP posts:
Merrow · 15/12/2022 22:08

I don't know about tax credits, but child benefit is based on the tax year so yes no need to worry until next tax year.

NoHeavenNoMore · 15/12/2022 22:13

Congrats on the new job, that salary increase will be life changing!!
Flowers

Original poster
Differentnotless7783 · 15/12/2022 22:24

Thank you so much 🥰 yes definitely, my husband is self-employed and COVID destroyed his business, so this has made so, so much difference to us ❤️

OP posts:
Original poster
Differentnotless7783 · 15/12/2022 22:24

That's great to know, thank you so much for your help ❤️

OP posts:
123ZYX · 15/12/2022 22:36

Just make sure you let HMRC know that you need to stop receiving child benefit from April, otherwise you'll need to do a tax return and repay it, which is a waste of time if you can avoid it.

You might also want to check if you'll have salary sacrifice pension, because if that brings you under £60k you'll still be entitled to some child benefit

Original poster
Differentnotless7783 · 15/12/2022 23:23

That's brilliant, thank you 😊

OP posts:
Chasingsquirrels · 16/12/2022 12:07

Tax credits will be on your annual household income.
You'll have to run the figures, but you are likely to have to pay back some or all for this year.
I'd try and save it over the coming months so that you have it available when they do the annual assessment.

And congratulations, that's a massive increase.

Rollercoaster1920 · 16/12/2022 12:11

I keep receiving child benefit but pay it back via self assessment. You never know if your circumstances will change in future, and it's effectively and interest free loan. I do save the money to cover the tax bill though.

Congratulations.

Original poster
Differentnotless7783 · 16/12/2022 16:14

Chasingsquirrels · 16/12/2022 12:07

Tax credits will be on your annual household income.
You'll have to run the figures, but you are likely to have to pay back some or all for this year.
I'd try and save it over the coming months so that you have it available when they do the annual assessment.

And congratulations, that's a massive increase.

Thank you 😊

See this is what is so frustrating with Tax Credits, I wish there was the option to just stop receiving them when you don't need them anymore! Yes, I think that's what I will do, I'm hoping they respond quite quickly with what the damage is going to be! 😬

OP posts:
Original poster
Differentnotless7783 · 16/12/2022 16:15

Rollercoaster1920 · 16/12/2022 12:11

I keep receiving child benefit but pay it back via self assessment. You never know if your circumstances will change in future, and it's effectively and interest free loan. I do save the money to cover the tax bill though.

Congratulations.

Thank you very much 🥰

And that is a great tip...Just not sure how much I trust myself! 😬

OP posts:
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