Can't get any financial advice from anywhere to start a new business

[trixxParticipant]

Can anyone please help, its all giving me sleepless nights and worry.

I currently work full time in a very good secure job for the Local Education authority.I plan to leave at the end of July to work alone and for myself. I’m a single mum of 2 (17 and 12) My eldest will be off to uni in October. I want to be self employed so here  my questions.

Can I still get tax credits if I work for myself but wont know yearly earning just yet ? or

Should I get a job that pays 16 hours to get the tax credits and set up my business alongside? Can I do both

Can I get a start up grant from anywhere as a single parent that will help me on my way ?

Ive been to my local tax office today with all my questions but I was told it shut down three years ago. Im confused and worried now.

 

 

 

[SherimaParticipant]

Ask HMRC but I know someone who has their business and gets tax credits .

[SherimaParticipant]

You just need to declare your income ✓ earnings

 

[SOLOMUMMYParticipant]

You can but they’ve tightened up on this and you have to show you’re making a profit and receiving equivalent of minimum wage.

I think once your youngest is thirteen that would equivalent to full-time at minimum wage.

Universal credit give a years leniency.

I wouldn’t be giving up an lea role but trying to set it up alongside working full-time.

[trixxParticipant]

thankyou, Im unable to stay at my job, its affecting my mental health and my family. I’m happy to get another part time alongside my business but I cant stay at my current job. Would I just give estimated hours and pay for tax credits?

[SherimaParticipant]

You need to contact HMRC . It takes time to get through. There’s online chat I do know people who have struggled. So try changing jobs that way you are guaranteed tax credits.

[SOLOMUMMYParticipant]

Though I understand yiu stated mh issues as a reason to leave,this means you lose staviksta of a permanent  role with perks such as six months to a year sick pay etc, good pension pot. So as difficult as it is I’d really try to stick it out and start on the business.

The job centre can advise on starting a business and maybe able to provide grants information.

Be aware that tax credits work list respectively so they pay out based on the on the previous financial year and even calling with updates still frequently leads to large overpayments requiring to be repaid. Whereas universal credit works based on the salary received that month so is more accurate and not leading to no overpayment. But rates are generally lower.

[trixxParticipant]

Thankyou, I’m a  Higher level teaching assistant on 15k take home a year. Im working 80% of my week teaching a whole class ,with no lesson plans, I cover a specialist unit teacher on 48k a year who’s been given a new position  helping out my headteacher to sort out the rest of his school. I’ve been doing this for 2 years and I cant do it anymore. I cant speak to my headmaster because he’s happy with the arrangement. I can earn far more money self employed and I’m more than happy to loose the perks for now.

[RamblinjonParticipant]

The job centre will advise you about a scheme called The new enterprise allowance. If your on UC you get a year where the UC payment is based on your earnings which need to be declared each month and after that it’s either based on your earnings or the Minimum Income Floor which is based on 25 hours at minimum wage if you have a child under 13, if your child is over 13 the MIF assumes you work 35 hours per week at minimum wage so your UC payment will be based either on the MIF or your earnings whichever is higher. You will be assigned a business advisor to help you set up the business and while doing so the job centre will not expect you to seek work but you’ll get the equivalent of job seekers allowance depending on if they accept your reasons for leaving your job, they may class you as voluntery unemployed which is a problem.

[GingerbreadJustineModerator]

Hi there

At Gingerbread we have a single person helpline.  They are a really experienced team of advisers who have been trained in this area.  They will be able to talk you through your options.  You can contact them on 0808 802 0925 and they are open today between 10 – 4.  They are busy so expect to wait a while before getting put through.

Hope that helps, Justine

[Author]

Posts