working tax/child credits

XTinksX · Oct 2, 2009 9:57AM

Hi,

My Husband and I have a very reasonable combined income but we are always skint as we have large outgoings. We have just moved to a bigger house from a cramped flat, which is perfect for bringing up our baby and my step daughter, so we don't really want to downgrade now we are expecting! The problem is, when my maternity drops to half pay +SMP this will mean a ??700 drop in income per month, which we can't afford. Therefore, I am looking into a mortgage holiday. Then it dawned on me, that when I am back at work and working full time, my pay will be back to full pay but we will have to fork out ??700 for full time nursery and we can't afford that either! I've looked at what we are intitled to and it seems nothing but child benefit really which is not going to fill a ??700 hole!! What do we do?

I was wondering if anyone else is in a similar position and are you entitled to any tax credits. I can't believe I pay so much in taxes and I am not entitled to anything back and therefore can't afford my baby! Help!!

vicksters-88710 · Sep 17, 2009 5:50PM

hi, you storey sounds the same as mine.
If you and your husbands combined wages are over ??15,500, then i dont think you will get much help with regards to tax credits and Working tax credit.
I pay out around ??400 per month in nursery fee's and that's only 10 days a month, i only work part time and dont earn much more than that. I only go to work because i love my job, i'm a dental nurse and now we have to be rgistered and pay to do our own professional development courses over a 5 year cycle, so by the time i've paid to be registered etc and petrol to work , and nursery fee's, i'm in the minus every month.
Trying for baby no 2 at the mo and i dont think i will go back to work as wont be able to afford childcare for baby and a child minder to take and pick my daughter up from school next sept.
We get quite a bit in tax credits every week at the mo, as my husband was off all year last year from a major injury he had at work, he did'nt earn any wages at all, but sill had to send emily to nursery, only just getting ourselves straight.
If you go on Direct gov sight it tells you all about tax credits on there.
I hope everything works out ok for you.
i know it's a little personal but if you have debts then if you get in contact with the Credit counceling service, this is a free goverment help servioce they can agree repayments with creditors for as little as a ??1 per month xxx

xkelx · Sep 28, 2009 11:29AM

I think you should still get some tax credits. Our comined wage was about ??30,000 and we get about ??21 a week. Not a lot compared to working but still may as well apply for it!

We've taken a 6month mortgage holiday which has been great, although will end soon and then will probably be a bit of a struggle.

I don't know much about childcare but I've read that you can claim upto 80% of the cost back provided you are working more than 16hrs week. Have a look at this... http://www.direct.gov.uk/en/Parents/Childcare/DG_4016029

xxx

Grace_and_Ruby · Oct 2, 2009 9:57AM

I am due to go back to work on Monday after having 9 months off with Mat Leave. I have a 3yr old DD and a nearly 7month old DD. I have to go back for a min of 3 months as I work for NHS and have to 'pay back' maternity allowance. We will struggle to pay nursery fees for both girls, so I am going to hand my notice in on the day I return to work! I will be better off looking after the girls myself and my eldest will get 12.5 free day care from January anyway, so at least she will get time to mix with other kids and have the freedom to be away from me at times.

working tax/child credits

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