24 Jan
Parents, you could be losing entitlement to your future state pension!
If you are a parent and claim child benefits HMRC has confirmed that you could be losing out on part of your future state pension.
HMRC has recently written to the treasury and pointed out that if child benefits are being claimed by high earners, the partner who is earning a smaller amount in the household could be missing out on national insurance credits which would mean that they are reducing their statement pension entitlement.
It was confirmed that the government was warned a number of times already that within families where one individual is an earner and the other a non-earner if the earner claims child benefit, the non-earner loses their national insurance credit which in turn means access to their full future state pension.
Parents who are unsure about their position regarding this should speak to an accountant in London or a good tax specialist. The identification of this will mean no nasty surprises in the future.
Clear House are specialist Accountants in London who create smart accounting and tax solutions for businesses, sole traders and partners. If you have any queries of a specialist or a generalist nature, do not hesitate to contact us.
Thao is a Senior Accounting Manager at Clear House Accountants. Her experience in the industry has led her to her current position in which she is responsible for a team of accountants, tax planners and bookkeepers.
Thao works with her team to help clients from a variety of industries, grow, save money and plan for the future. Thao holds a Bachelor and Masters degree in Accounting and Finance and is currently working towards her ACCA, she is also a Xero and Quickbooks Certified Advisor.
Thao’s expertise lies in high-level tax planning, management accounting and strategic business planning based on financial performance and business analytics. Her experience, expertise and knowledge make her an exceptional contributor at Clear House.