Active discussions

Meet the Other Phone. Child-safe in minutes.

Meet the Other Phone.
Child-safe in minutes.

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

Tax Credits - Why is it that..

31 replies

tullytwo · 31/07/2008 10:15

We get less now for 3 kids and I no longer work part time than we did 3 years ago with 2 kids when I worked part time? Plus partners salary has decreased slightly too when he changed jobs.

Anyone else finding this?

Its not by much granted but surely it should have gone up slightly not down?

Just wondering

OP posts:
ruddynorah · 31/07/2008 10:16

i think you get more if you work to encourage you to work. in some cases. not sure though.

gillybean2 · 31/07/2008 11:43

Does your partner work over 30 hours a week or the 16-29 bracket?

their calculations are completely mad imo. Ask tehm to check the calculation and ensure they have all teh correct details?

I think you get a top up amount if one of your children is less than a year old, so maybe that's the reason it's gone down a bit.

Original poster
tullytwo · 31/07/2008 16:36

Partner works well over 30 hours and we did get slightly more when dd was under a year but still seems so illogical that we get less with 3 kids than 2 doesnt it.

Also we have never had childcare costs so that hasnt changed.

They seem to have all our details correct but it does baffle me!

OP posts:
DontNeedAnything · 31/07/2008 16:40

Because part of the benefit is for you working. As you are no longer working you don't get this element,

boredveryverybored · 31/07/2008 16:45

Yep you will have dropped slightly as you'll now only be getting WTC for your dp and not yourself. It is an incentive to get people to work.
If you're really unsure about your calculation I can have a look at it for you (am TC officer...shhh )
You can mail me on airym at hotmail dot co dot uk if you like

blossomsmine · 31/07/2008 21:09

So.....would you be better off, if your circumstances were all the same but you upped your hours from say 16 to about 24 hours or something? It is all just so confusing!

DaisySteiner · 31/07/2008 21:17

But isn't working tax credit only paid to one person in a couple, not both? Even if both partners are working you only get the WTC elements once as I understand it.

DontNeedAnything · 31/07/2008 21:34

Yes only 1 person only get teh cash, but the amount is based on wether 1 or 2 are working and how many hours they work.

DaisySteiner · 31/07/2008 21:42

No, the working tax elements are only payable once even if both partners are working according to the hmrc website.

DontNeedAnything · 31/07/2008 21:52

I think that means that it will only be paid into 1 bank account on behalf of both of you. i.e you can't have it split into 2 bank accounts.

You need boredveryverybored

DaisySteiner · 31/07/2008 21:56

Being a saddo I have just tried out their calculator online with both scenarios - 2 partners both working and 1 partner working 1 non-working, keeping the income the same. Award is identical. Their information leaflet showing how awards are calculated confirms this.

boredveryverybored · 31/07/2008 21:58

You're right Daisy there is only one WTC element per couple. It depends on how many hours pw Tullys dp works. Her giving up work can effect the elements they get as a couple and lower the award iyswim.
Generally the more hours a person/couple work the higher the WTC award is.

boredveryverybored · 31/07/2008 22:01

If however her dp is and always has been working 30+ hrs pw then her giving up work will not have affected their WTC claim at all, except to lower the household income.
I presumed that between them they were getting the 30hrs. Hence the drop in payments.
If thats not the case, income has dropped and a new baby has been added...then without a doubt the award should be higher. (unless their income is in the higher bracket in which case they only get the minium regardless.)

KatyMac · 31/07/2008 22:01

Hi Boredveryverybored I used to be one too

A first Aider in my office saved my life.....then I left

DaisySteiner · 31/07/2008 22:03

But that would mean then that the OP's partner works fewer than 30 hours a week, yes? And surely the extra child element should more than compensate for the loss of the 30 hour element?

DaisySteiner · 31/07/2008 22:04

x-posted with your next post!

boredveryverybored · 31/07/2008 22:04

Sounds like an interesting story Katy! What office were you in?

DaisySteiner · 31/07/2008 22:05

But she said her partner's income had gone down.

boredveryverybored · 31/07/2008 22:06

Yes have just seen Tully's second post Daisy (that'll teach me to wade in without reading whole thread )
Doesn't sound right that her award has dropped. Would have to actually look at her numbers to try and figure out why though

KatyMac · 31/07/2008 22:07

Liverpool - it was a TCO - first year

boredveryverybored · 31/07/2008 22:08

Thats where I am Katy Small world.

DontNeedAnything · 31/07/2008 22:17

Obviously we don't know all the details. Could it be that she had an overpayment last year and has had her award reduced because of this.

Probably unlikely now that the inaccurate income threshold thingumy is now £25K (I think).....

boredveryverybored · 31/07/2008 22:22

Overpayment is the only rational reason I can see for her award being lower in current circustances. But she would know if she was paying back an overpayment and she doesn't mention it.
Am intrigued by this now (sad) I want to know why

DaisySteiner · 31/07/2008 23:17

Hope you don't think I was being picky - we had problems a few years ago abd taught myself how to work the awards out for myself so I could spot any mistakes.

Keep up the good work!

Dummymumm · 31/07/2008 23:23

if you are that bored you can do mine instead