Quote:
Originally Posted by Steve_PPP
That sounds just rediculous. I recognise (and fully agree) that benefits need to be addressed, as they can't increase at inflation while hard working peoples salaries don't increase at all. But as you say, they know all this information already so surely its possible to automate the process.
Is the £50k limit based your set salary, or a reflection of total earnings through PAYE in one financial year? (what if bonuses, overtime etc tip you over the edge?)
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It's total pay, less any tax free contribution i.e into pensions or charity. If you earn £51,000 and you pay £1000 into a pension then you will still get the full child benefit.
If your basic is £47,000 and you do alot of overtime or get a £5000 bonus, that pushes you above £50,000 so you will get a reduction in child benefit (well you won't you'll get all of it, then have to do the leg work to work out what you owe HMRC).