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looking for advice from anyone who knows about benefits, tax credits and redundancy. Or anyone who just wants to give me an opinion on what I should do with my life, I will list pros and cons, go on, you know you want to!!

38 replies

Aimsmum · 19/05/2008 18:33

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Sam100 · 19/05/2008 19:10

Found this - although it is quite old
here. Think it means that provided all you got was statutory non taxable redundancy (less than £30k) then does not have to be declared on a tax credits application. But I try and find something more up to date!

On the Revenue site here it says that if you stop working your Working Tax Credit stops after 4 weeks. Presumably this will then be replaced with Jobseekers Allowance if you are looking for another job - so you would have to check if that is affected by a redundancy payment. From this it looks like it is a fixed weekly amount and not means tested.

Maybe you could try talkinig to somebody at the Jobcentre for some advice about what would happen if you took the redundancy and started looking for another job?

Sorry if this has duplicates anything already said - started typing reply then had to go deal with nappy change!

Aimsmum · 19/05/2008 19:12

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fiodyl · 19/05/2008 19:15

your tax credits wont stop, I recently got made redundant and tax credits told me if it was under 30k they didnt need to know about it

Iota · 19/05/2008 19:17

on the voluntary redundancy front, when I was made redundant the word voluntary was not used to avoid any potential confusion at the jobcentre.

I think the fear was that you might get benefit sanctioned and referred to the Decision Maker, but they should find in your favour and you would get the benefit eventually.

fiodyl · 19/05/2008 19:41

they did us a very god letter when we got made redundant to show to the jobcentre explaining everything so that we would get benefits

but it was the jobcentre i was made redundant from so we expected that lol

Iota · 19/05/2008 19:44

LOL at being made redundant by the Jobcentre - that counts as job creation for the remaining staff

Aimsmum · 19/05/2008 19:58

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ingonitoIRbod · 19/05/2008 20:06

Just to confirm tax credits don't care about any payments under £30k, any saving you have we only want to know about any interest earned on it if it totals more than £300 for the year. You would get four weeks run on of your WTC which would then stop, but if you're not working you will be entitled to full CTC if you're not getting it already which is:

£545 per yr family element
£2085 per yr for each child
and an extra £545 for any child under 1.

hth

RambleOn · 19/05/2008 20:10

I took voluntary redundancy and received a lump sum (a lot more than you've mentioned) and was able to immediately claim contribution based JSA for 6 months.

It was classed as 'voluntary early relaese on compulsary terms' though, don't know if that makes a difference.

Aimsmum · 19/05/2008 22:03

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Fillyjonk · 20/05/2008 08:26

you should not have your benefit "sanctioned" (ie not paid for a bit) if you left as a result of a voluntary redundancy situation.

Provided that you can show this you should be fine. On your form, explain what HAPPENED, they should be able to tell from that that you are talking about a redunancy situation under a different name

btw-WHY are they not calling it redundancy?

Aimsmum · 20/05/2008 09:50

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Aimsmum · 20/05/2008 19:53

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