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durhamborn

£162k in the Bank,£16k Final Salary pension,£900 a month tax credits.

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http://www.telegraph.co.uk/money/money-makeover/how-can-i-use-my-162k-savings-to-spare-me-from-full-time-work/

Has it all.£900 a month tax credits for years on top of her salary even though she had £162k in the bank.Now she wants to use the savings she should of been spending to support herself to deny a first time buyer (whos tax was going direct to her) a house by buying a BTL with it.

Structural deficit of £60 billion+ yet rich people get more than the minimum wage in free handouts.

Gordon Brown.

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Just now, One-percent said:

Where to start.  She 'owes' her new partner 55k. That'll end in tears then. Moving in with her partner has cost her in benifits. Ffs it's not an entitlement dear 

Its incredible really to think anyone would design a welfare system like this.How Brown got tax credits in il never know.Even more disgusting is a so called Tory government didnt have the bottle to reform it.Saying that i know a few millionaires getting tax credits.One got a million and a detached house paid for when her ex husband sold a business for £16 million.Gets tax credits.Thats not a joke.She does.

Im sure working renters paying tax and getting no benefits are pleased they are funding this insanity so people can buy BTLs with their tax.

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1 minute ago, durhamborn said:

Its incredible really to think anyone would design a welfare system like this.How Brown got tax credits in il never know.Even more disgusting is a so called Tory government didnt have the bottle to reform it.Saying that i know a few millionaires getting tax credits.One got a million and a detached house paid for when her ex husband sold a business for £16 million.Gets tax credits.Thats not a joke.She does.

Im sure working renters paying tax and getting no benefits are pleased they are funding this insanity so people can buy BTLs with their tax.

I can believe the millionaire getting tas credits durhamborn. A mate of mine had a very wealthy husband who has so much spare cash he bought a Ferrari as an investment. Anyhow, when he left her and the three kids he felt guilty so gave her a good wedge every month.  When it came to claim tax credits, the money paid in maintenance did not count. She was awash with money. 

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2 minutes ago, One-percent said:

I can believe the millionaire getting tas credits durhamborn. A mate of mine had a very wealthy husband who has so much spare cash he bought a Ferrari as an investment. Anyhow, when he left her and the three kids he felt guilty so gave her a good wedge every month.  When it came to claim tax credits, the money paid in maintenance did not count. She was awash with money. 

Feck me it get`s worse ....please stop i have access to rope and trees  

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5 minutes ago, long time lurking said:

Feck me it get`s worse ....please stop i have access to rope and trees  

:lol:  I know. It's insane. But true. They don't count maintenance when working out tax credits, unless it has changed. Please God 

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6 minutes ago, long time lurking said:

And there`s me thinking WTC were means tested 

They are means tested on earned income.Not on assets or capital,or interest,or dividends etc.

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19 minutes ago, long time lurking said:

Feck me it get`s worse ....please stop i have access to rope and trees  

 

Quote

Ms Bishop, 47, currently works as a school administrator in Leicestershire.

 

Quote

her two daughters, Susie, nine, and Evie, seven.

 

Quote

Before the girls were born Ms Bishop earned £45,000 working full time as an accountant for the local government

 

So by the age of 38 she had secured

 

Quote

She also has a final salary pension that will pay £16,000 a year when she reaches the age of 67.

 

Is that likely ?

Edited by LiveinHope

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"I'm sorry that Ms Bishop has been caught by a strange and cruel quirk of the benefit system that means the decision to live with her new partner has cost her £900 each month in benefits."

 

that has wound me up.....WTF

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'Britain's generous welfare system behind pupils' lack of ambition,' say Chinese teachers- this was reported a few years ago.

The amounts given out is just taking the p***

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Apart from the taxcredits thang - which is'nt her fault - she might make a good hpc'er? Shes prudent and cash-rich? Interesting to see the advice against BTL

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7 minutes ago, Futuroid said:

Dividend income and income from any other investment, including savings interest and state and/or private pensions is part of the means testing for tax credits:

https://www.gov.uk/guidance/tax-credits-working-out-income

Taxable income on a pot under 250k is likely to be almost zero... ISAs, virtually zero interest rates. You'd need at least a million to start getting disqualified from tax credit.

Long term savers would have sheltered the lot in ISAs anyway to get maximum tax credits. 

Edited by crashmonitor

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7 minutes ago, Futuroid said:

Dividend income and income from any other investment, including savings interest and state and/or private pensions is part of the means testing for tax credits:

https://www.gov.uk/guidance/tax-credits-working-out-income

But I don't think that maintenance payments are counted. So, if you have a rich partner, kerching 

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Yes but means testing doesnt kick in until income of £6400,any dividends up to that amount dont affect tax credits at all and that only dividends held outside of an ISA,anything held inside an ISA doesnt need to be included,its all exempt.Also it doesnt matter how much capital you have it doesnt affect them.Universal Credit is different,£16k of savings means you dont get any.

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In response to LiveinHope I'd say probably. Assuming for simpicity when she started receiving her pension she would receive 1/2 of her final salary but not get a lump sum on top or some combination of the two. Given her current age and when she left her job I think she still would have been on 30/60ths pension. So she'd have to work 30 years in order to get £22,500 per year. To receive £16,000 she would have had to have worked for them for just over 21 years. This would be possible if started working for them at 16 and stayed with them until she was 38. If this is the case I suspect they would have paid for her training to be an accountant as well.

Edited by assetrichcashpoor
Quote to original post lost

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1 hour ago, LiveinHope said:
Quote

her two daughters, Susie, nine, and Evie, seven.

 

Quote

Before the girls were born Ms Bishop earned £45,000 working full time as an accountant for the local government

 

I'm guessing a generous public sector redundancy in 2007 led to the decision to have children? Maybe maintenance from ex husband aswell. All guesses.

 

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37 minutes ago, assetrichcashpoor said:

In response to LiveinHope I'd say probably. Assuming for simpicity when she started receiving her pension she would receive 1/2 of her final salary but not get a lump sum on top or some combination of the two. Given her current age and when she left her job I think she still would have been on 30/60ths pension. So she'd have to work 30 years in order to get £22,500 per year. To receive £16,000 she would have had to have worked for them for just over 21 years. This would be possible if started working for them at 16 and stayed with them until she was 38. If this is the case I suspect they would have paid for her training to be an accountant as well.

Oh well, I've probably had a better life until now than someone working for the DWP, but I'll probably have a worse life from now onwards.

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1 hour ago, assetrichcashpoor said:

In response to LiveinHope I'd say probably. Assuming for simpicity when she started receiving her pension she would receive 1/2 of her final salary but not get a lump sum on top or some combination of the two. Given her current age and when she left her job I think she still would have been on 30/60ths pension. So she'd have to work 30 years in order to get £22,500 per year. To receive £16,000 she would have had to have worked for them for just over 21 years. This would be possible if started working for them at 16 and stayed with them until she was 38. If this is the case I suspect they would have paid for her training to be an accountant as well.

Also she could have received a generous deal on her pension as part of a public sector redundancy package prior to the 2010 GE. During Gordon brown's halcyon years at the treasury and as PM there were some utterly outrageous redundancy settlements.

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I'm sorry that Ms Bishop has been caught by a strange and cruel quirk of the benefit system that means the decision to live with her new partner has cost her £900 each month in benefits.

I find it really, really weird that seemingly intelligent , & well off people (financial advisor in this case) can speak like that..some are totally, emotionally detached from the the real world. It really does show what receiving £900 a month means to them.

On the one hand it is peanuts, because how else can anyone talk about receiving that much with such total absence of doubt as to her deserving of it, yet on the other look at it as being such a huge sum that she will have to suffer from this cruel quirk, by moving in with her partner.

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6 minutes ago, GinAndPlatonic said:

I'm sorry that Ms Bishop has been caught by a strange and cruel quirk of the benefit system that means the decision to live with her new partner has cost her £900 each month in benefits.

I find it really, really weird that seemingly intelligent , & well off people (financial advisor in this case) can speak like that..some are totally, emotionally detached from the the real world. It really does show what receiving £900 a month means to them.

On the one hand it is peanuts, because how else can anyone talk about receiving that much with such total absence of doubt as to her deserving of it, yet on the other look at it as being such a huge sum that she will have to suffer from this cruel quirk, by moving in with her partner.

It's almost as if it's an entitlement, rather like a contract where one exchanges toil for money, than a safety net, there to help when you are most in need

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