I work part time 16 hours, I was struggling to pay childcare costs until my manager said I could be entitled to help with these costs, so I called and applied and they granted me extra working tax credits to help with part of my childcare costs.
However I then received a letter saying my council tax payments were going up and my housing benefit had gone down. Basically leaving me worse off than when I started.
Is this right? I have around £50 a month left over now and that’s to cover food, petrol and other ‘non bill/utility costs’. It just seems absolutely pointless working, if I carry on I will be drowning in debt before the year is up!. I wouldn’t of applied for the childcare costs help if I didn’t absolutely need it, yet the government then find other ways to take it from you. 😓
Thanks for posting on the forum. For advice about your benefits and how childcare costs affect them, call our specialist single parent helpline on 0808 802 0925. Lines are open today from 10am-4pm. It can be busy and you may have to wait to get through, but calls are free.
Hope you hear from others on the forum who can share their experience.
Likelihood is that if working 16 hours you’re no longer eligible for council tax reduction, as hard as that is to accept, the support for this has really reduced. So I’d anticipate that probably this reduction is a coincidence as this would be disregarded from council tax calculations.
Hi thanks for your reply. No I was already down as working and I was paying council just not a huge amount, they have only increased it because I applied for the extra help with childcare costs. My child is 5.
They have to disregard the child care to some extent.
If you pay for child care then part of this cost can be deducted from your income figure used to calculate your HB and CTR. This can be up to £175 (for one child) or £300 (for two or more children) per week for the following categories:
Lone parents who work at least 16 hours per week.
Couples who both work at least 16 hours per week.
Couples if one of them works at least 16 hours per week and the other one is incapacitated, or in hospital, or in prison (whether serving a sentence or on remand)
Have you directly informed the council of the childcare costs? Which authority?
Unfortunately tax credits wont tell you if you would be better off if your circumstances change ie more working hours, childcare etc but had to make that leap from SAHM to working part time. It does take a few months to get ised to it