Join Date Jan 2008 Location london Posts 345
how does child tax credit work when your not working. please can someone help me
Hi all my husband has been laid off in his job and now we need to claim job seekers allowance, i am just wondering what will happen with our child tax credit now, do they then combine them with the jobseekers or will i still recieve it each month as i have been doing.
Join Date May 2009 Posts 138
Child tax credit is roughly Ј45 per child per week if you are claiming JSA, or I think a little more if you only have one child. They will take into account anything you have already earned this tax year though, I believe.
You are paid monthly because you are on the lowest level of payment. Once you tell them of the changes, you can have it paid weekly if you prefer.
You will receive Ј100.95 JSA
per week (but paid fortnightly as already said) and will be able to claim full council tax benefit providing you are the only adults in your house.
You should also get housing benefit/local housing allowance straight away if you rent, or help with your mortgage after 13 weeks.
Be careful with tax credits if you or your OH find a job within this tax year though, as you may receive an overpayment.
They assess awards on the previous years income and usually there is a Ј25k income disregard to cover any rise in income, but you won't be allowed that as you will have asked them to lower your income.
To avoid it, tell them immediately, and every time, your income increases over this year so they can adjust your award.
Sorry if you already know all that; better to hear it twice than unwittingly end up owing money imo.
Last edited by Helly W; 17-05-09 at 20:11.