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Claiming CA after redundancy with tax credits ?

Hi guys 
I'm hoping some of you may be able to help. 
I was made redundant last month from work and I have decided with my son getting older (17) and his dealing of the whole COVID I am going to focus on just him for a bit. 
I have never claimed CA and currently I get tax credits as I am a single mum and was on a lower income. 
I have been in touch with welfare rights who advised I could claim CA and either stay on tax credits or move to universal credit but I haven't a clue .. I tried the calculators and universal credit seems to work out slightly better but I have only heard horror stories about this. 
I think I may have to repay some tax credits as I haven't worked the full year and I'm not sure how this will work either. 
Can anyone help with advice on what to do and any pros or cons of each option. 
The calculators work out about £100/month extra for UC but like I say I've only heard bad things about it, also I have read that I would need to wait 7 weeks before any UC would be paid and welfare rights said I may not get the first months as it may go off my employment earnings from Auguest. 
In case it effects anything I own my home and luckily I followed this amazing American guy called Dave Ramsey and I have managed to pay it off and clear my debt just before I was made redundant (I thank the lord and know how lucky I am that I have that worry gone) 

Any advice would be great .. thanks guys xx 

Replies

  • poppy123456poppy123456 Member Posts: 23,120 Disability Gamechanger
    Hi,

    I can't advise about tax credits because that's not my area of knowledge. I do know that if you were receiving working tax credits that this will continue for 4 weeks but you will need to report the changes with HMRC that you're no longer working.

    If you claimed UC then your August earnings will not affect any UC that you maybe entitled too because you weren't claiming UC in August. UC entitlement depends on earning received during your monthly assessment period. If you received no earnings then you'll receive maximum UC entitlement. Use a benefits calculator https://www.entitledto.co.uk/benefits-calculator/Intro/Home?cid=c8da911e-c842-48a0-aa5c-e8fbb434075f There's a 5 week wait for your first UC payment after you claim and not 7 weeks. Once you claim UC your tax credits will stop and you can never go back.

    You can only claim Carers allowance for someone if they are claiming a disability benefit such as PIP daily living or DLA mid/high rate care. Carers allowance is also a taxable benefit.

    You mention your son, is he still in full time non advanced education? If he is and you're claiming child tax credits do be aware that the rules for this against universal credit are different. Tax credits can be paid up until the child's 20th birthday if they remain in full time non advanced education. For the Child element of universal Credit they are only paid until 1st September after their 19th birthday.

    Hope this helps.

    Proud winner of the 2019 empowering others award. This award was given for supporting disabled people and their families for the benefit advice I have given to members here on the community.
  • mumofthetwinsmumofthetwins Member Posts: 41 Connected
    Thanks so much poppy that really helps. 
    My son currently attends sixth form and has a year left, I am really worried about him though as he will not leave home unless accompanied, my other son (his twin) is in the same classes as him and they are very small (classes 7 kids max) so he is okish with going but his brother has said he is leaving to go to college and my son is now all over the place and the fact that it's starting to dawn what is he going to do next. All this plus covid has gotten him into a bad place xx 
    He does receive PIP and even whilst working full time he required a lot of help so hopefully I should be ok for CA 

    Thanks again for all your help 
    Lisa 

  • poppy123456poppy123456 Member Posts: 23,120 Disability Gamechanger
    You're welcome.

    Yes, very strange times and there's a lot of people struggling with the new "normal" If you do return to work in the future then do be aware that when claiming carers allowance the maximum you can earn each week is £128 after deductions.

    Proud winner of the 2019 empowering others award. This award was given for supporting disabled people and their families for the benefit advice I have given to members here on the community.
  • mumofthetwinsmumofthetwins Member Posts: 41 Connected
    Thanks again Poppy xx 
  • janer1967janer1967 Member Posts: 12,054 Disability Gamechanger
    @poppy123456 Hi I picked up on something intereesting you said in this post which I wasnt aware of so just wondered if you could clrify

    My son's birthday is 6th September so does this mean I will get the child element of UC right up to the year after he becomes 19 so for example if he was 19 on the 6th Sept 2021 would I get child element till 1st sept 2022
    Here to help with my experience in hunan resources and employment rights 
  • poppy123456poppy123456 Member Posts: 23,120 Disability Gamechanger
    janer1967 said:
    @poppy123456 Hi I picked up on something intereesting you said in this post which I wasnt aware of so just wondered if you could clrify

    My son's birthday is 6th September so does this mean I will get the child element of UC right up to the year after he becomes 19 so for example if he was 19 on the 6th Sept 2021 would I get child element till 1st sept 2022

    Yes. Where the young person is aged 19, they must have started the education or training or been enrolled on or accepted for it before reaching that age. 

    IMPORTANT: If you are claiming Universal Credit and have a 19 year old in approved training or non-advanced education, do not include them as a dependant child after the 31 August following their 19th birthday (if their birthday is the 31 August do not include them from their 19th birthday). Even though your Child Benefit will continue for this child, the Universal Credit child element will not be included from this date.

    https://www.entitledto.co.uk/help/child-over-16



    Proud winner of the 2019 empowering others award. This award was given for supporting disabled people and their families for the benefit advice I have given to members here on the community.
  • mumofthetwinsmumofthetwins Member Posts: 41 Connected
    So I have had a think and I am going to stick with tax credits .. it’s less £ but I’m already receiving them so should be easier. 
    I’ve been waiting for WR to call back but haven’t had anything yet .. I was hoping they could help with the CA claim and I saw on entitled to calculation that I would get council tax support and free school lunches but I haven’t a clue how to apply for any of these myself 🤦🏻‍♀️ 

    Do you guys think I should try WR again or any advice where to start ? 

    Thanks 
  • poppy123456poppy123456 Member Posts: 23,120 Disability Gamechanger
    You will need to report the changes to HMRC that you are no longer working, which could affect the amount you're entitled to.

    Free school meals. If you were claiming working tax credits then this will continue to be paid for 4 weeks once you finish work. You will need to wait until then to claim the free school meals. https://www.gov.uk/apply-free-school-meals

    Carers allowance is a very simple online application and the form should take just a few minutes. Do be aware though that a claim for carers allowance can potentially take between 8 - 12 weeks. You don't really need any help from WR for this claim.

    Council tax reduction needs to be claimed from your local council. All local councils have their own criteria so i wouldn't be able to give any advice regarding that.


    Proud winner of the 2019 empowering others award. This award was given for supporting disabled people and their families for the benefit advice I have given to members here on the community.
  • mumofthetwinsmumofthetwins Member Posts: 41 Connected
    Thanks Poppy .. I will log into my tax credits online and report change (I’m assuming i can do it online ?) 
    I will have a look at the form And full that out tomorrow. 
    And then I will call council tax people tomorrow and see what they say 😉

    thank you for all your help xx 
  • poppy123456poppy123456 Member Posts: 23,120 Disability Gamechanger
    edited September 2020
    No problem. Yes, you report the changes online. Don't forget that when you claim carers allowance, it's taxable income.
    Proud winner of the 2019 empowering others award. This award was given for supporting disabled people and their families for the benefit advice I have given to members here on the community.
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