DPB question

No you do not child support. If you have a private arrangement you have to tell them how much you get and it gets taken off (like if you were earning the same amount) but I'm actually not 100% on that. I am a student and get the dpb but you can get a student allowance instead. It works out the same I think but more hassle over christmas when you have to go on the dpb.

Do you mean childcare subsidy? You get up to 50 hours if you are a student depending on how many hours you study for each week.

Unless he has to pay more than base rate DPB (last time i was on it, it was $250 p/week) then no, you wont see any of it as it goes straight to the crown to help reimburse the DPB payments. You can only do private arrangements if you are not on the DPB, but still have to declare those payments to IRD as it is classed as income, and affects your WFF entitlement.

Childcare subsidy is paid to the people providing the childcare regardless of where your income comes from, obviously if you are on DPB then it would be max entitlement for the number of hours spent studying and travelling, the hourly rate of entitlement drops if you are working, and earning more than their tiered thresholds.

DPB is made up of 3 main payments, base DPB (as mentioned in first para) accomodation supplement, and Family tax credit via IRD, but all paid in one lump sum by WINZ. There are other smaller amounts that can be added on, depending on your personal circumstances, such as disability allowance, Temporary additional support etc.

I'm on a student allowance so I get that plus an accommodation supplement, WFF, any child support he bothers to pay (whole different story that one!) plus can work part time and earn up to about $190 approx a week before Student Allowance is deducted.

Much better option to be on student allowance! Also dunno how but I manage to stay on it all year round, maybe coz I do a summer school paper as well???

BK - if you're on the DPB and work over the 20 hours, you still can't get the $60 In Work Tax Credit (speaking from experience). You can also opt to have the FTC paid by IRD instead of by WINZ, which is an easier option if you were getting WFF already.

Thats really odd Kate, the whole point of that $60 is to encourage parents to go back to work instead of staying on the dole... mind you, I went back p/time (20 hours exactly) coming off the dole, and opted for minimum family tax credit rather than partial DPB (my income was below the $21K at the time), maybe thats why I got that extra $60 from IWTC?

You guys sound so much more knowledgeable than me.  Can you clarify something for me?  When I checked out getting the DPB as well as working I was told that my income from work would be taxed at a secondary rate and that because I earn over $80 a week I would only qualify for about $80 from the DPB.  Is that right?

And second question...presumably I would then essentially lose anything gained (if anything!) because it would be taken out of child support?

It's such a confusing system.  Definitely not set up to encourage single parents to work.

I currently work 16 hours so am trying to bump it up to 20!  That would make a huge difference to my income because of the family tax credit.  I just don't think it's going to happen until next year some time.  I do think that it is lousy that my bigger income is taxed at the secondary rate - particularly as the IRD website clearly states that your smaller income is the one that will be taxed at a secondary rate.  Very tempted to take it up with my MP (although a little nervous!)

 

If your income is under the $21-22K mark (not entirely sure of exact threshold anymore) you can also get a 'top-up' from IRD added onto your usual WFF payments, thats what I got when I first came off DPB and started working 20 hours p/week, so that your annual income is at LEAST that threshold, then the usual WFF payments (which would be max entitlement if you were also entitled to the top-up, thats the minimum family tax credit)

Thats what made coming off DPB completely worth it, and meant I got the extra $60 p/week from IWTC as well. Plus as mum2alana says, it means all child support paid by the father comes directly to you, OR you can go by private arrangement so he pays you directly, instead of having to wait a month before getting what he has paid.

Easiest way to figure it out is use the IRD's WFF calculator and put in what your annual income is from your hours worked only, and see what your entitlement would be with that income, and no DPB etc

That seems really odd that your larger income is taxed at secondary rate though... is it possible to go to your employer and have them change your tax codes around?

We pay CS & it is taken out of DH pay by IRD. Neither IRD or WINZ will tell us were that money goes.

We know she is on the DPB & she has been for 16yrs.