Tax Credits Question

[lotuseener]

Dh and I receive working/child tax credits. We both work opposite shifts and have not had to put ds in nursery yet. However, my hours are changing and ds will have to go to nursery part time. My question is although our wages will remain what they are now after my shifts change, will we be entitled to more tax credits to help cover the cost of child care, or are we supposed to use the tax credits we already get to pay for child care?

We live on a low income and tax credits help us survive, if what we receive now will have to go to child care, we would be in a bad situation

I have rang the tax credits people and haven't got a straight answer, they say they can't give me a definite answer until the day ds starts nursery and I start day shifts.

Thanks for any answers you can help with, mums.

try going on www.entitledto.com put in the expected hours and cost of childcare and see how it will affect your tax credits.

Im sure you will get some extra towards your childcare costs although its unlikely to be the full amount.

The threshold for working tax credit, which is the one that is calculated on childcare costs, is very low, something like £16k iirc?

So if you're on a low income you'd get extra for childcare costs, but not above that amount.

your child tax credit may change, however.

The helpline are very good at doing estimates based on "what if" scenarios (they can do it on different hours, incomes, childcare etc), as they will it work it out based on what you have had already this year, so it is accurate to within about £1-2 a week. Tell them it's only a scenario beforehand though!

I found the tax office similarly unhelpful lotuseener. They told me the same thing about not being able to advise me until DD was actually at nursery. They just didn't get (or refused to) that I couldn't afford to put her in nursery if I was going to be worse off by doing so.

we get help with DD's nursery costs and earn more than you do so you should