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spyguy

Pop! - No More Tax Credit

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Anecdotal story about someone I know - FOAF type.

Nice girl, could not be less like White Dee - slim, attractive, polite, nice, etc.

Knocked up by her soon to be Ex when 19.

Now has 16 YO son.

She works two low paid jobs: nursery and pub. In summer she switches to more hours at the pub.

She works more than 16h minimum despite not getting more money.

(Soon to be Ex) Husband is like Andy Capp.

As soon as tax credits were sussed, he worked less and less, basically setting himself up as a self-employed guitar teacher.

Bought house about 15 years ago.

Anyhow, from memory and what I've been told, they were struggling with the mortgage 10 years ago and switched to an IO.

Son jacks in college and starts low-paid job.

Wham -tax credits stopped. Dead. Down £400 month.

Kapow - husband walks out/kicked out.

Bang! - house up for sale as they cannot afford even the IO and husband wants his '50%' of about 0 equity.

She + kid moves back with parents.

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Bought house about 15 years ago.

Anyhow, from memory and what I've been told, they were struggling with the mortgage 10 years ago and switched to an IO.

So they bought before the worst of the bubble, and were paying their mortgage during a period of low rates, and they still got into bother, despite most of the income changes coming later? How did they manage that?

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Point taken. What's FOAF?

Friend of a friend. Generally comes from urban legends, as in "this friend of a friend was playing golf when..."

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So they bought before the worst of the bubble, and were paying their mortgage during a period of low rates, and they still got into bother, despite most of the income changes coming later? How did they manage that?

Quite possible remortgage.

But this is the problem that comes from a sustained period of low inflation. You have to earn at the same rate for the life of the mortgage, or close enough.

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As soon as tax credits were sussed, he worked less and less, basically setting himself up as a self-employed guitar teacher.

My God, people certainly know how to work the system, not just the 1% either.

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This was the great tax credit trap Brown and Labour set.Iv lost count of the people who fell for it.Dropping hours,taking only 16 hour jobs,doing as little as possible.Then the youngest gets to 16/18,all tax credits stop and they find themselves earning £90 a week and the best prospect is £220 a week.Outgoings higher.

So Brown bankrupted the country,destroyed wages,bunged people multi thousands of free cash every year only to make sure theyd be in poverty from around 40-68.

Tax credits simply delayed poverty and made it worse when it arrived.

I know 6 people who have lost their houses now for the very same thing,and dozens coming up to it in panic now.2 of them have got pregnant though just in time,1 the child is due 3 days before she loses tax credits for her youngest now.Shes proud in the pub that she timed it so well.

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Does it actually pay to pump out kids just for the tax credit? What is the max? £55 per week? But what does it actually cost keep the child per week? would £30 be fair? that's £4.28 per day, seems a bit low even at that. Anyway, that would leave £25 profit per week per child. I suppose that would cover cider and fags for a week!

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This was the great tax credit trap Brown and Labour set.Iv lost count of the people who fell for it.Dropping hours,taking only 16 hour jobs,doing as little as possible.Then the youngest gets to 16/18,all tax credits stop and they find themselves earning £90 a week and the best prospect is £220 a week.Outgoings higher.

So Brown bankrupted the country,destroyed wages,bunged people multi thousands of free cash every year only to make sure theyd be in poverty from around 40-68.

Tax credits simply delayed poverty and made it worse when it arrived.

I know 6 people who have lost their houses now for the very same thing,and dozens coming up to it in panic now.2 of them have got pregnant though just in time,1 the child is due 3 days before she loses tax credits for her youngest now.Shes proud in the pub that she timed it so well.

A few years back now, I worked as an interventionist for Job Centre Plus and was astounded by the number of benefit recipients that timed their last bundle of joy as close to 40-45 it was a blatant play on the system so they could coast to retirement without lifting a finger EVER! Gap between younger and older siblings could literally be generational.

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A few years back now, I worked as an interventionist for Job Centre Plus and was astounded by the number of benefit recipients that timed their last bundle of joy as close to 40-45 it was a blatant play on the system so they could coast to retirement without lifting a finger EVER! Gap between younger and older siblings could literally be generational.

It's harder now.

When your kid is 5 you are expected to look for work. (So I understand)

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It's harder now.

When your kid is 5 you are expected to look for work. (So I understand)

How much would child care be though.

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How much would child care be though.

They can get tax credits for that.

It all props itself up.

The big thing for tax credits affecting was overtime.

No one wanted it anymore.

Which in turn meant people couldn't work their way out of a small financial hole. So the pay day loans have flourished.

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They can get tax credits for that.

It all props itself up.

The big thing for tax credits affecting was overtime.

No one wanted it anymore.

Which in turn meant people couldn't work their way out of a small financial hole. So the pay day loans have flourished.

I remember a guy I know who worked at one of the main supermarkets had wanted a last minute day off. The boss said it could be arranged if someone else could cover on overtime. Of about 5 people who could/would of covered it they didn't because "they would of been working for nothing" with tax credits involved.

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This was the great tax credit trap Brown and Labour set.Iv lost count of the people who fell for it.Dropping hours,taking only 16 hour jobs,doing as little as possible.Then the youngest gets to 16/18,all tax credits stop and they find themselves earning £90 a week and the best prospect is £220 a week.Outgoings higher.....

And remember that the kids who are turning 16/18 today were born in 96/98, tax credits in their current form didn't come into existance until 2003. What happens when the current crop of 10 year olds reach maturity god alone knows.

Expect to see hundreds of thousands of these cases over the next 10 years.

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This was the great tax credit trap Brown and Labour set.Iv lost count of the people who fell for it.Dropping hours,taking only 16 hour jobs,doing as little as possible.Then the youngest gets to 16/18,all tax credits stop and they find themselves earning £90 a week and the best prospect is £220 a week.Outgoings higher.

So Brown bankrupted the country,destroyed wages,bunged people multi thousands of free cash every year only to make sure theyd be in poverty from around 40-68.

Tax credits simply delayed poverty and made it worse when it arrived.

I know 6 people who have lost their houses now for the very same thing,and dozens coming up to it in panic now.2 of them have got pregnant though just in time,1 the child is due 3 days before she loses tax credits for her youngest now.Shes proud in the pub that she timed it so well.

There must be something they could do.... oh look...

Number of babies born to women over 50 doubles in four years in UK

Experts warn of health risks and pressure on NHS as number of mothers in 40s and 50s continues to rise

http://www.theguardian.com/lifeandstyle/2014/mar/31/number-babies-born-women-over-50-doubles-four-years

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I always wondered why a lot of the girls I went to school with seemed to go through a pregnancy boom a couple of years ago.

Quite often you have uncles and aunts that are younger then their nephews and nieces.

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