Child Benefit
Child Benefit is a tax-free payment that you can claim for your child. It is usually paid every four weeks but in some cases can be paid weekly, and there are separate rates for each child. The payment can be claimed by anyone who qualifies, whatever their income or savings.
Who can get Child Benefit?
You may be able to claim Child Benefit if any of the following applies:
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your child is under 16
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your child is over 16 and in relevant education or training
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your child is 16 or 17, has left relevant education or training and is registered for work, education or training with an approved body
You can claim Child Benefit even if your child doesn't live with you. However, if the child lives with someone else, you can only claim Child Benefit if:
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you pay towards the upkeep of your child
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what you pay is at least the same as the amount of Child Benefit you get for your child
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the person bringing up your child is not claiming Child Benefit for them
You can also claim Child Benefit for a child even if you are not the parent, but you have to be responsible for the child to qualify.
Tax credits
Tax credits are payments from the government. If you are responsible for at least one child or young person who normally lives with you, you may qualify for Child Tax Credit. If you work, but earn low wages, you may qualify for Working Tax Credit.
Who can get tax credits?
Nine out of ten families with children get tax credits, but you don't need to have children to qualify. You may also qualify if you are working and earning low pay.
How much do you get?
The amount of tax credits you get depends on things like:
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how many children you have living with you
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whether you work – and how many hours you work
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if you pay for childcare
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if you or any child living with you has a disability
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if you are aged 50 plus and are coming off benefits
Your payments also depend on your income. The lower your income, the more tax credit you can get.
How tax credits work
If you are married or living with a partner you will need to make a joint claim for tax credits. You can only make a single claim if you don't have a partner.
HM Customs & Excise pay tax credits directly into your Bank, Building Society, Post Office or National Savings account if it accepts Direct Payment - either weekly or every four weeks.
Who gets the payments?
If you are both working and both qualify for Working Tax Credit, you can decide who'll get the payments.
If you are claiming Child Tax Credit and are in a couple, you need to decide which one of you is the child's main carer as the money will be paid to the main carer.
How tax credit payments work
The tax credits payments you receive are based on your current personal circumstances and your income from the tax year that ended on the 5 April each year.
If you are making a new claim for tax credits your payments will usually run from the date of your claim to the end of the tax year. Each year during April, May and June HM Customs & Excise will write to you asking you to:
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check the information they have about your personal circumstances
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confirm the income you received in the year that has just ended
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renew your claim
Changes at home and work
If your circumstances change it can affect the amount of money you should be getting. You should contact HM Customs & Excise on Tel: 0845 300 3900 to inform them immediately of any changes.
Working tax credit
Working Tax Credit is for people who are employed or self-employed, and who:
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usually work 16 hours or more a week
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are paid for that work, and
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expect to find work for at least 4 weeks
and who are:
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aged 16 or over and
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responsible for at least one child, or
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aged 16 or over and disabled, or
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aged 25 or over and usually work at least 30 hours a week
As part of Working Tax Credit you may qualify for help towards the costs of childcare. If you receive the childcare element of Working Tax Credit, this will always be paid direct to the person who is mainly responsible for caring for the child or children, alongside payments of Child Tax Credit.
If you are entitled you must use registered childcare providers and money will be paid by automatic credit transfer to your bank account, order book, giro cheque or in your wages.