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Changes to your usual working hours and tax credits

You must work a minimum number of hours a week to get Working Tax Credit - either 16 or 30 depending on your circumstances. If your usual working hours change, you should let the Tax Credit Office know straight away because it may change the amount of Working Tax Credit you get.

Number of usual working hours

To get Working Tax Credit, you must normally be aged 25 or over and work at least 30 hours a week. But you only need to work 16 hours or more a week if you or your partner:

  • are aged at least 16 and are responsible for a child or young person
  • are aged at least 16 and you qualify for an extra payment of tax credits because you have a disability
  • are 50 or over and going back to work after being on out-of-work benefits (such as Income Support or Jobseeker’s Allowance) for at least six months

You should expect your paid work to continue for at least four weeks.

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If you're now working fewer hours

What you need to do

Let the Tax Credit Office know straight away if you or your partner:

  • were working 30 or more hours a week and are now working less than 30 hours a week
  • were working between 16 and 30 hours a week and are now working less than 16 hours a week
  • are part of a couple and your joint working hours are now less than 30 hours a week
  • have been on strike for more than ten days
  • are sent to prison or have been remanded in custody awaiting trial or sentence

Contact the Tax Credit Helpline

How your tax credits are affected

If your hours have gone down temporarily, you can usually carry on getting your usual tax credits payments for four weeks from the date your hours dropped. This can happen as long as you expect your hours to go back to normal after four weeks.

If your hours have gone down until further notice or for good, you can carry on getting the same tax credits payments for four weeks from the date your hours go down. This can happen as long as you continue to meet the other qualifying conditions for Working Tax Credit

After the four weeks is up, your tax credits may:

  • stop if you no longer qualify
  • go down if you still qualify for some payments

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If you are no longer working

What you need to do

Let the Tax Credit Office know straight away if you:

  • stop working altogether either as an employee or self-employed person
  • are no longer working and there is a gap of seven days or more before you start another job

You must report these changes within one month, or you could be paid too much money (an overpayment) which you may have to pay back. You may also be charged a penalty of up to £300.

Contact the Tax Credit Helpline

How your tax credits are affected

If you stop work altogether, you will only be paid Working Tax Credit for a further four weeks from the date of the change.

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If you're now working more hours

What you need to do

Tell the Tax Credit Office straightaway if you:

  • have children or are disabled and were working less than 16 hours a week but and are now working 16 or more hours a week
  • were working less than 30 hours a week and are now working 30 or more hours a week
  • are part of a couple that is responsible for one or more children and your joint working hours are now 30 or more hours a week - with one of you working at least 16 hours a week

Also tell the Tax Credit Office straightaway if your increased hours mean your income is likely to go up.

Contact the Tax Credit Helpline

How your tax credits are affected

You may get more money if your hours have gone up. Any increase in your payments can only be backdated by up to three months so make sure you report the change straightaway.

If your income has gone up it may not affect your current tax credits, but it will affect how much you should be paid for next year.

Find out how changes in income affect your tax credits

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More useful links

Find out how to work out your usual working hours

Tax credits: changes you need to report and when

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