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Thread: High income Child Benefit charges

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    Guest jon200's Avatar
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    High income Child Benefit charges

    I am fortunate that i earn a decent wage through working shifts and overtime at a decent company. Unfortunately i have hit a snag and wanted some opinions.
    We have 2 young children and we are able to claim for child benefit(the one everyone is entitled to) with no problems until now it turns out.
    I have just received a letter from HMRC saying that i have possibly exceeded the upper limit of 50k. After checking my P60, P11D and March pay slip i have indeed exceeded the upper threshold that i didn’t realise existed.

    Using the online calculator i have worked out that i owe them £1600-£1800! Mostly for this year

    Does anyone know how they will want this back and why the hell they use Pre tax pay values as its not what i actually take home to my Family.

    Ta Jon

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    They changed the rules I assume to get more people who earn over 50k to go self assessed, which is sucky.

    To make it worse a two parent household earning 49k each so 98k m, taking more alot more home still get the full benefit.

    As a single income household over the threshold it really grinds my gears.

  3. #3
    Guest jon200's Avatar
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    I know i thought it was 50k for both earners initially but then realised how shite it was. My mrs doesn’t earn enough to pay tax even


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    Guest DLowe's Avatar
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    I too am expecting to be hit with this - mrs has been claiming for 3yrs for our little one, I have exceeded it every year (without knowing about any limits)

    worse part is she has filled all the forms in to the best of her knowledge and they still gave it to her (may basic is just below the limit, but with OT etc we expect +50% more a year)

    A lot of people have been hit with HMRC letters, and I expect mine soon - one chap had to get a loan an d pay back near on 10K in one hit.

    mines going to be around 3K

    from what I understand you should pay it off in 1 if you are able too as they will rape you with intrest and totally frigg about your tax codes for years to come if you don't

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    Quote Originally Posted by jon200 View Post
    I am fortunate that i earn a decent wage through working shifts and overtime at a decent company. Unfortunately i have hit a snag and wanted some opinions.
    We have 2 young children and we are able to claim for child benefit(the one everyone is entitled to) with no problems until now it turns out.
    I have just received a letter from HMRC saying that i have possibly exceeded the upper limit of 50k. After checking my P60, P11D and March pay slip i have indeed exceeded the upper threshold that i didn’t realise existed.

    Using the online calculator i have worked out that i owe them £1600-£1800! Mostly for this year

    Does anyone know how they will want this back and why the hell they use Pre tax pay values as its not what i actually take home to my Family.

    Ta Jon
    Best bet is to ring them and see if they can put it into your next years tax code or if you can start to make payments monthy from now. If you leave it any longer they'll want the cash at the end of January.

    If you are likely to go over it again stop claiming benefit asap as it's a pain in the arse doing the self assessmentand then getting hit with a demand for all the benefit that you got.

  6. #6
    I <3 BBS LM Actual_Ben_Taylor's Avatar
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    Hi Jon, they'll most likely just change your tax code to reduce your personal allowance until they get their money back.

  7. #7
    Engine Builder Mark's Avatar
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    And this is why IMO (and its probably an unpopular one ) they should scrap child benefit completely. Having a child is a lifestyle choice (mainly) so why should the taxpayer fund that choice? No one pays for my holidays or my car which is my lifestyle choice so why am I paying towards other peoples?

    Just saying
    Quote Originally Posted by silverzx View Post
    I like Mark, he seems fair.
    Quote Originally Posted by Slip_n_slide View Post
    Mark is right.

  8. #8
    Guest DLowe's Avatar
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    I pretty much agree with Mark....

    But as I pay so much into a system that's so corrupt and poorly managed, any chance of a refund - I'm taking it

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    Banned sideways14a's Avatar
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    Totally agree Mark, jesus if i was boss of the world shit like having a brat would not be paid for out of the tax take.


    Mind you a lot of things would change and folk wouldnt be happy so just prey i dont ever get that far

  10. #10
    Guest mattvaughan180's Avatar
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    People at my work have been hit by this situation basic wage plus o/time has put them over the threshold with each working month being a different wage with over time its crap to know where you are as a yearly wage.
    the chap I work with got stung for 10k last Christmas plus a 1k fine from the bastards. who we work for employ thousands of staff that are in the same boat but we have never been told to self access plus to make matters worse this hmrc for child Benefit tax year is different to ours (April-april) so if you get stung it will be for 2 years worth.
    I swear they do this as a money making exercise to get more out of the fines.
    one things for sure you won’t get away not paying it or disputing it they know exactly how much you got in your bank and send you constant letters weekly threatening bailiffs as the chap I work with had this.
    good luck my advice is cancel the benefits pronto


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  11. #11
    Member sx rider's Avatar
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    The government reward people for having kids, where's my reward for driving a 90's classic? My neighbour hood is better because of it, I bring class to the streets around me

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    Guest jon200's Avatar
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    Just thought id update this. Its taken this long to get a self assessment sorted out and work out what i owe. £2200 and will be payed by Xmas. They want close to £400 in december though which i argued about but were having none of it.

    I agree with Mark too, maybe not scrap it completely but it needs a massive shake up. Personally i think reducing it when you have more kids is a good way of keeping peoples legs closed! Or reduce the totals by the same amount as inflation each year.


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