Universal Credit. Mmmm...

[meglet]

Just completed an interesting excersise. I’ve been a stay at home mum for 18 months since giving up work to look my family who are now a school age daughter and three year old twin boys. I’m starting work full time again in 2 weeks and come January my boys will be entitled to 24 hrs a week free childcare (30 hours p/w stretched over the year). Out of interest, I’ve just looked to see if I will be entitled to any help with childcare costs as, due to wraparound costs, I’ll still have to fork out £288 per week. One of my sons has special needs and should be getting disability living allowance any day now.

Under the existing working tax credits system I would be entitled to £83 per week, which is not to be sniffed at. However under Universal Credit my entitlement is a big fat £0.

No wonder there’s so many complaints about it.

[meglet]

And thank you Mamya x

[ummmm]

It's mad. They want you in employment then make it hard for you. Some people are just working to pay child care costs and keep their foot in the door.

SK - you're a bit ignorant.

[Rockrose]

//Does that actually make sense. //
Yes - what are you struggling with?

[ummmm]

It does make perfect sense.

[fender62]

maybe its a way of weaning people off having children they cannot afford or having any at all, or perhaps having a go at stopping society dependent on benefits, ie whole generations, or population control.

[SparklyKid]

Good point fender.

[Mamyalynne]

Good grief. Meglet was working until 18 months ago and is going back into employment - she isn't exactly a dole dosser.

Get some proportion.

[pastafreak]

I'm sorry...but I thought Universal Credit was for those in need...low or no income.

A bit of googling told me...// You are allowed to earn a certain amount before your Universal Credit is affected. This amount is called the work allowance.
Then for every pound you earn over the work allowance, your Universal Credit will be reduced by 63 pence. This is called the earnings taper. //

Based on that, you will probably be earning too much.
Correct me if I'm wrong. I'm just curious.

[meglet]

Thank you Mamya. I was a sales professional and higher rate tax payer for 20+ years and I’ve paid PLENTY into the system.

I don’t have any time for women who have kids to get benefits either, but I can afford my kids. I only looked as someone suggested it. And I won’t be getting anything anyway!

Yes Pasta I guess we will be earning too much. That’s fine I didn’t accept the job expecting any financial assistance.

But for those on it already this change must be devastating.

[AuntLydia]

I think your Universal Credit entitlement to a big fat zero should be correct. Some people don't make a year what you pay in childcare. Benefits are supposed to be for those who are struggling. For once maybe the government has got it right.

[AuntLydia]

Meglet, sorry our posts crossed. If you are/were in the higher tax bracket you are not eligible for Working Tax credit either. I think the limit is around £ 25,000 per year but I may be wrong

[ummmm]

I do believe benefits should help with childcare though.

[AuntLydia]

Childcare costs are taken off before you are taxed so if you earn say £36,000 and your childcare costs are £12,000 you will only be taxed on the remaining £24,000 (minus your personal allowance). On these figures you are saving around £2400 in Income Tax.
I think childcare should be completely free. It would probably save the government millions in the long run.

[ummmm]

I believe it would.

[meglet]

AL do you have a link to this at all? The gov website says tax free childcare is up to a maximum of £2k a year.

A little more perspective on this. I will start the job before any government funded childcare kicks in. Which means I have to find £1350 up front and another £1350 before I even get my first pay check. I’m borrowing it. How can mums go back to work when they are faced with these upfront costs?

[AuntLydia]

meglet I'm self employed so maybe the rules are different or have changed since I needed to claim this on my Tax return. Apologies if the info is incorrect.

[sherrardk]

I’m curious re the petition - why should parents of twins get access to government funded childcare at two instead of three?

[pastafreak]

Those charges are horrific...and yes, I've often heard that women end up working to pay for childcare. It's the only way they can continue careers. Like AL, I think it should be free or pretty damn close to it. Then more women will have the freedom to work without the added burden. I'm sure it would benefit the economy immensely.

[meglet]

Sherrardk, I think the costs I have shown give an indication of how expensive it is for twins. The Twins and Multiple Birth Association are campaigning in this issue as the costs of two children needing everything at the same time can drive parents into poverty. In addition I would add that many twins are premature and have developmental delays (especially speech) and early intervention helps enormously.

Having twins was an absolute game changer for us (and it was a spontaneous pregnancy, not ivf) and the costs have been huge. If I could have got back to work earlier it would be been so helpful.

[sherrardk]

Sorry Meglet, I’m with the government on this one :(