Benefits for people bringing up a relative’s or friend’s child
1
Benefits for people bringing up
a relative’s or friend’s child
Are you a grandparent raising your
grandchild, or a friend or relative
bringing up a child who is not your
own? If so, you are likely to be
entitled to certain benefits.
This factsheet includes information
on:
1. Child Benefit
pg 1
2. Child Tax Credit
pg 2
3. Guardian’s Allowance
pg 2
1. Child Benefit
Child Benefit is paid to people who are bringing up
a child under 16, or a young person aged under 20 if
they are in full-time non-advanced education or on an
approved training course.
You can claim Child Benefit for each child for whom you are
responsible unless you are being paid a fostering allowance
for that child.
At present Child Benefit is not means tested. From January
2013, Child Benefit will be reduced for families in which at
least one person earns £50,000 pa, and will be withdrawn at
£60,000.
4. Other sources of financial help pg 3
You don’t pay tax on Child Benefit and it doesn’t affect your
pension entitlement. The weekly payment for the eldest or
only child is £20.30 and £13.40 for each additional child.
Depending on your circumstances you may be able
to claim other benefits – see our website pages and
factsheets on:
You do not have to be a parent of the child to be awarded
Child Benefit, but only one person can be awarded Child
Benefit for a particular child. If more than one person claims
Child Benefit, the person the child lives with will have priority.
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Benefits for people on a low income
Benefits for older people
Benefits for people who are sick or disabled,
or are caring for others
Useful contacts
Child Benefit Office
0845 302 1444
www.direct.gov.uk
Tax Credit Helpline
0845 300 3900
You may be able to receive up to three months’ arrears (back
payments) of Child Benefit. However, if someone else is
receiving benefit for the child, you are not usually entitled to
arrears. Instead, if your claim takes priority, you will have to
wait four weeks from the date of your claim before you start
receiving the money, unless the other person withdraws their
Guardian’s Allowance
Helpline
0845 302 1464
Child Maintenance
Options
0800 988 0988
www.cmoptions.org
Advice & Information Call: 0300 123 7015 (Telephone lines open 10am-3pm Monday-Friday)
Email: [email protected] Visit: www.grandparentsplus.org.uk/advice
Benefits for people bringing up a relative’s or friend’s child
claim or stops qualifying for Child Benefit for another reason.
If there are competing claims for the same child, you may
have to wait longer for a decision about your claim.
To obtain a Child Benefit claim form go to
www.direct.gov.uk or phone 0845 302 1444.
Q. My grandson has been living with me for the last
six months. My daughter doesn’t live with us, but
she still receives Child Benefit for him. She buys
him some clothes every now and then, but hardly
ever gives me any money towards his keep. It
would really help if I could get the Child Benefit
for him, but I don’t know if I’m entitled to it?
A. There are limits laid down in law for how long people can
keep getting Child Benefit once a child is no longer living
with them. Your daughter will have lost her entitlement to
receive Child Benefit for your grandson once he had lived
away from her for 56 days over a 16 week period unless
she continues to contribute to the cost of supporting him.
To satisfy this condition, she must contribute at least the
amount of Child Benefit payable for him.
Even if your daughter is contributing to your grandson’s
maintenance, any claim you make will have priority,
because he is living with you – but you may need to
provide evidence of this.
Q. Although my grandson lives with me, I haven’t
claimed Child Benefit because I don’t want to
upset my daughter.
A. This is a tricky situation for you. However, remember
that Child Benefit is paid specifically for the extra costs
involved in bringing up a child. Your daughter may be
open to prosecution for fraud if she receives the money
and the child isn’t living with her, unless she contributes
to the cost of supporting him.
2. Child Tax Credit
You can claim Child Tax Credit for any child who
normally lives with you unless you are being paid a
fostering allowance for them. If more than one claim
is made for the same child, it will be paid to the person
who has main responsibility for the child.
You can get Child Tax Credit whether or not you are working.
Payments depend on your family circumstances and income.
As a very rough guide, you might be able to get Child Tax
Credit if your gross annual income is up to around £26,000
and you have one child, or up to £32,000 and you have two
children. You could still qualify if your income is above these
amounts - for example, if you pay for registered or approved
childcare, your child is disabled or you have two or more
children.
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If you have a partner living with you, you must claim Child
Tax Credit jointly with your partner.
You can claim for a child until the age of 16 and for a
young person under the age of 20 if they’re in full-time
non-advanced education or on an approved training course.
You can get extra Child Tax Credit for a child who is getting
Disability Living Allowance (DLA) or is registered blind.
The HM Revenue and Customs (HMRC) website has
an online calculator at www.hmrc.gov.uk which you
can use to find out whether you qualify for Child Tax
Credit and how much you should get.
A tax credit claim can usually be backdated by up to one
month provided you meet the entitlement rules for that
period. It is best to make it clear on the application form if
you want the claim to be backdated.
You have to complete a new tax credit application every
year and the amount you get is usually fixed for a year. If
your circumstances change (for example your income goes
up or down) you should tell the Tax Credit Office as soon as
possible. This is important because otherwise you may not be
paid all the tax credit you are entitled to, or you may be paid
too much and have to pay it back to HMRC.
To claim Child Tax Credit for the first time, you need
to complete an application form. You can apply for
Working Tax Credit on the same form. To obtain a
form phone the Tax Credit Helpline on 0845 300 3900.
3. Guardian’s Allowance
You may be able to get Guardian’s Allowance as well
as Child Benefit and Child Tax Credit if you are caring
for a child because their parents have died.
Sometimes, you can get Guardian’s Allowance if only one
parent has died, for example, if:
– the other parent’s whereabouts or paternity are unknown
– the parents were divorced or their civil partnership has
been dissolved and the surviving parent isn’t paying
maintenance
– the surviving parent is in prison or is detained in hospital
by a court order (sectioned).
Guardian’s Allowance is currently £15.55 a week. You may
be able to receive up to three months’ back payments if you
qualified for it during that period.
You can check if you are eligible for Guardian’s
Allowance and get an application form by phoning the
Guardian’s Allowance Helpline on 0845 302 1464 or
from www.direct.gov.uk.
Advice & Information Call: 0300 123 7015 (Telephone lines open 10am-3pm Monday-Friday)
Email: [email protected] Visit: www.grandparentsplus.org.uk/advice
Benefits for people bringing up a relative’s or friend’s child
Q. I have thought about claiming these benefits, but
I’m not sure if this extra income would reduce the
amount of Pension Credit I receive?
A. Child Benefit, Child Tax Credit and Guardian’s Allowance
are ignored when calculating your entitlement to Pension
Credit and to other means-tested benefits including
Jobseeker’s Allowance and Employment and Support
Allowance.
If you are not happy with a benefits decision, you can
ask for it to be looked at again or you can appeal. You
should always check decision letters for any relevant
deadlines. You can contact us for advice if you are in
this situation.
4. Other sources of financial help
You may be entitled to other benefits, depending on
your income and savings, or your other circumstances
(for example if you are looking after a disabled child).
If you are on a low income you might be able to receive
free school meals or other financial help.
For more information, including other sources of
financial support, see www.grandparentsplus.org.uk/
advice or contact our advice service.
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Financial support may also be available from the local
authority. Depending on your legal arrangements, you may
be able to receive a fostering allowance, Special Guardianship
allowance or Residence Order allowance. If you are raising
a child with no local authority involvement you may still be
able to get some financial support under section 17 of the
Children Act. However, this is a complicated area of law and
practice is variable.
The Family Rights Group has helpful factsheets on
its website www.frg.org.uk. You can also contact its
helpline on 0808 801 0366.
You may be able to apply for a grant from a charity to help
you pay for items that your family needs. See the ‘Your
Money’ section of our website or contact our advice service
to get information about suitable charities.
If the child you are looking after has a parent or parents
living somewhere else in the UK, or working abroad for a
UK-based employer, you may be able to receive financial
support from them.
Contact Child Maintenance Options for information
about the choices available for arranging child
maintenance. Visit www.cmoptions.org or phone
0800 988 0988.
Please note: If you have come from abroad to live in the UK, you should check that your immigration status does not
prevent you applying for benefits. If in any doubt, you should get advice from an immigration solicitor or your local
Citizens Advice Bureau, as a claim can sometimes affect your right to remain in the UK.
This factsheet is intended to provide general information only,
and should not be taken as a full statement of the law.
This
factsheet
was last updated
April123
2012.
Advice
& Information
Call: 0300
7015 (Telephone lines open 10am-3pm Monday-Friday)
Email: [email protected] Visit: www.grandparentsplus.org.uk/advice
Charity number 1093975