HMRC is encouraging those who “think they earn too much” to “check again” as they might be missing out on free cash. Those with a salary under £80,000 might qualify for a benefit if they meet certain criteria.
Eligible people who are responsible for children may be entitled to Child Benefit, which offers payments for each child under 16, or under 20 in full-time education or training. If your income is £60,000 or below, you’re entitled to the full Child Benefit if the child lives with you or if you contribute an amount equal to the benefit for their care.
However, earnings above £60,000 attract the High Income Child Benefit Charge (HICBC). The potential Child Benefit decreases for those earning between £60,000 and £80,000, and an income of £80,000 would see the benefit essentially wiped out by the amount of HICBC.
Claims are limited to one caregiver per child, and HMRC stresses the importance of checking if you are eligible. In a recent post on X, HMRC urged: “Think you earn too much to receive Child Benefit payments? Check again to make sure you’re not missing out on money.”
Child Benefit not only provides financial support but also contributes National Insurance credits towards a person’s State Pension. At present, Child Benefit offers recipients £25.60 weekly for one child, equating to £1,331.20 annually.
Each subsequent child receives £16.95 per week. Therefore, those with two children will receive £2,212.60 yearly, and those with three children will get £3,094 annually.
