Active discussions

Meet the Other Phone. Protection built in.

Meet the Other Phone.
Protection built in.

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

please someone with better sense than I help me sort out this tax credits bullshit

16 replies

eenybeeny · 11/06/2008 20:14

Ok we are broke. Seriously broke. And we havent been getting any tax credits because they overpaid us a few years ago and we have been paying that back. anyway that is all paid back now so tax credits are supposed to be resuming. I finally found out today now much we are going to get and dealing with these people has been a fucking nightmare.

Up until very recently we were fine financially had a satisfactory amount left over each month etc. But our rent has gone up by £50 a month and my work cut my hours down - bad for us financially but very good for me as a person as the work environment is terrible. So the last 2 months things have been bad for us money wise. I am trying not to complain because I know this is temporary and a lot of people are worse off than us.

They reckon DH earns too much so we are only getting the minimum child tax credit which is £540 a year.

I am upset about this because in my opinion DH doesnt earn that much and we are seriously broke. We are economising on everything and to put it bluntly - I now have one pair of trousers that fit me, one pair of shoes and they have holes in the soles so when it rains my feet get wet the exhaust is literally falling off our car blah blah blah

I must stress our DS wants for nothing and for that I am happy. Every spare penny we have goes on getting him necessities and also little luxuries that make him happy we have chosen to buy those things before we get things for ourselves.

Anyway - I only work 10 hours a week and I hate my job. I am in the process now of becoming a registered childminder which I am really looking forward to as I do love children and spending time with them more than anything else. So basically what I am saying is in a few months I shall be working more (as a minder) and our financial situation should be a little better.

(trust me I know minding doesnt pay a lot but it is what I have chosen to do and with having a few mindees full time I will earn more than I earn now 10 hours a week)

I am also starting to do some local pet sitting which will bring in little bits of money.

I guess what I am asking right now is:

Is there even any point in me continuing to work these 10 hours a week while I am getting the childminding up and going? If I quit would they give us more tax credits so I could focus more of my energy into the new career and get out of the very hostile work environment I am in?

OP posts:
pinkyp · 11/06/2008 22:53

no tax credits go on ur previous years earnings. My partner didnt work last year but now earns more than double than my friend's dh and were on more tax credits than them.Next year we wont be
sorry not the answer u wanted.

ChasingSquirrels · 11/06/2008 22:56

I thought you could ask them to adjust your tax credits to take into account the fact that your earnings are lower this year.

Flibbertyjibbet · 11/06/2008 23:07

Yes, you start off filling forms in giving your last years details as they take this as the starting point. Then you can contact them any time through the year and say 'oh our expected earnings will be lower now for this tax year' and they adjust it.
Even if your dps earnings are not that high, if you only have one child over 12m old who you do not pay any nursery fees for, then you might not be entitled to much.
We don't earn much but we hardly get any child tax credits (2 dcs) its mainly the tax credit contribution to the nursery fees so we can work.
I would ring up the tax credit people and just say, what tax credits will I get if I work ZERO hours but our family income is X, and what would we get if I work 10 hours and our family income is Y.
Don't stress about it, just ring them up in the morning and ask the question.

AbstractMouse · 11/06/2008 23:50

Maybe try entitled to you can play around with the figures and see how you would be better off. They say tax credits go on previous years, but they don't really, when you renew they ask for an estimated figure for the year ahead, as well as figures for last year. You have to tell them every little change as it happens or you do end up being overpaid.

Twinklemegan · 12/06/2008 00:00

Tax credits are worked out on the previous year's income unless

a) your income is less than the previous year, or
b) your income is >£25k more than the previous year

Otherwise you get the benefit of your income rise in that year without your tax credits being affected. They will reduce the following year to be in accordance with the normal formula.

dylsmum1998 · 12/06/2008 21:29

i would look into as others have suggest seeing how much tax credits you would get without your 10 hours work per week.
do you have children lined up for minding? if not i would be hesitant to do anything like quit work before you have definately got work, in theory yes childmidng full time does pay more than working 10 hours, but you can have trouble getting full time placements, it may take a while for your first call to come in etc etc. not wanting to poohpooh your plans at all, please dont take it as such. childminding is a fantastic career and very rewarding, but can be very difficult financially

dylsmum1998 · 12/06/2008 21:31

i would look into as others have suggest seeing how much tax credits you would get without your 10 hours work per week.
do you have children lined up for minding? if not i would be hesitant to do anything like quit work before you have definately got work, in theory yes childmidng full time does pay more than working 10 hours, but you can have trouble getting full time placements, it may take a while for your first call to come in etc etc. not wanting to poohpooh your plans at all, please dont take it as such. childminding is a fantastic career and very rewarding, but can be very difficult financially

dylsmum1998 · 12/06/2008 21:32

i would look into as others have suggest seeing how much tax credits you would get without your 10 hours work per week.
do you have children lined up for minding? if not i would be hesitant to do anything like quit work before you have definately got work, in theory yes childmidng full time does pay more than working 10 hours, but you can have trouble getting full time placements, it may take a while for your first call to come in etc etc. not wanting to poohpooh your plans at all, please dont take it as such. childminding is a fantastic career and very rewarding, but can be very difficult financially

dylsmum1998 · 12/06/2008 21:33

oh sorry dont know how i managed to post that 3 times!

jammi · 12/06/2008 21:35

This reply has been deleted

Message withdrawn

Original poster
eenybeeny · 12/06/2008 22:10

thanks all. I dont plan on giving up my shit job just yet. I have one mindee lined up in October (should be fully registered by then) and hopefully I will get others in a timely manner as well.

dont worry sylsmum I didnt think you were poohpoohing I know its not a money maker but it is a way to earn something while doing what I am passionate about and that is raising children.

OP posts:
dylsmum1998 · 12/06/2008 22:17

thats good, glad you didnt take it that way. i childminded for 8 years and loved it, there were hard times with money etc mainly not the children.
its a very fun and rewarding job good luck- out of interest where abouts are you?

Original poster
eenybeeny · 12/06/2008 22:22

I am in North Essex near Colchester. (sorry for the typo in your name in my last post)

I feel great about finally deciding to take the leap and childmind. It is the only career I can think of that I actually want to do. Unless you count lounging around all day having servants meet my every need a career!

OP posts:
dylsmum1998 · 12/06/2008 22:39

lol i hadnt even noticed the typo!

i do miss the childminding i really did enjoy it- i hope you do as much as i did. i'm sure you have thought of it already but tell everyone you meet "coming soon in a town near you....." great way of drumming up business

Original poster
eenybeeny · 12/06/2008 22:44

I have been dropping it in every mother and baby group in town!!!!!!

OP posts:
Original poster
eenybeeny · 12/06/2008 22:45

I have been dropping it in every mother and baby group in town!!!!!!

OP posts:
New posts on this thread. Refresh page
Swipe left for the next trending thread