Child Benefits – 2024 Changes and what they mean for you!

As experts in Tax, it is important for us to keep people abreast of changes in legislation. It’s also important to remind people of useful information at the appropriate times. As such, we would like to bring child benefits back to the forefront of people’s minds!

Here’s what you need to know…

2024 Changes to Child Benefit

In the 2024 Budget, the government increased the amount you can earn before you start to lose child benefit.

Previously, it was taken away entirely when one parent earned more than £60,000. This has been increased to £80,000.

It won’t start to be reduced until one parent earns more than £60,000 – up from £50,000.

Therefore, it is now time to opt in to receive child benefit if your income is under the £60,000 limit to receive full child benefit payments.

Be aware…

New Child Benefit claims made on or after 6 April 2024 and before 8 July 2024 will result in payments being backdated but will be subject to the charge in the 2024 to 2025 tax year, if your income exceeds the new threshold of £60,000.

Child Benefit is automatically backdated for 3 months, or to the date of birth of the child if later.

Get in touch!

As ever, if you need any help or further clarification, please do not hesitate to get in touch. As reputable tax professionals, we are always happy to see how we can help. Plus, we offer a free introductory meeting before you commit to our services – so you can see what we do and how we do it with no obligation!