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Has your child turned 16? Act now to maintain claiming Child Profit!
Aug
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Child Profit robotically stops on the thirty first August following your child turning 16. Nevertheless, it might probably still be claimed for youngsters continuing their education or getting into training. You’ll must be quick – to proceed receiving child profit for next 12 months, you will want to let HMRC know.
You could have just 6 days – until twenty eighth August to make HMRC aware that your 16-year-old is continuous their education not directly, otherwise your payments will stop.
It is best to have received a letter warning you that Child Profit will stop now your child has turned 16, but life is busy – and it might probably be easy to forget to update HMRC in your child’s plans. Nevertheless, forgetting to do that paperwork may very well be an expensive mistake – with the associated fee of living at a high, losing Child Profit unnecessarily may very well be detrimental to many.
Child Profit is currently price £1,248 annually for the primary child and £826 per 12 months for added children – an enormous help for a lot of, especially with the rising costs of food and clothing.
Alice Guy, Head of Pensions and Savings, interactive investor says:
“Children are still eligible for Child Profit who’re studying full time, which might include, A-levels, International Baccalaureate, home education – if it began before their child turned 16 or after 16 in the event that they have special needs, T levels, NVQs, as much as level 3 and traineeships in England.
“Although parents earning between £50,000 to £60,000 will begin to lose their Child Profit, it might probably still be price claiming. Your pension contributions reduce your contributions so far as the taxman is worried, so chances are you’ll be entitled to maintain no less than a few of your Child Profit.”
