Work vs LPA (lone parent allowance)?

L

linky

Guest
I am a single parent with one child and struggled to get off lone parents allowance 6yrs ago. I returned to full time work in 2004 and was able to buy my own (affordable) home in 2007. So in alot of ways, I'm ok. I have lost two jobs in the past 3yrs, but am now in a full time permanent position.

Just got my first payslip for january (did a dummy-run on payroll) and I'm down 220 this month. I have a medical card so have lost that exemption from the health levy, plus the usc cuts that we're all experiencing.

My salary isn't huge - 32k pa so my take home pay is now just under 2400pm. However, my mortgage is 1100pm and my childcare is 550pm and I am struggling big-time. I foolishly borrowed from one of those loan companies to get my car fixed last year (not sure if they are money lenders, but they are legit) and am paying 60pw until the end of sept, which is crippling me. I also have a credit union loan (deposit for house) which costs me 75pw. So I also pay 540pm in loans. Which leaves me with about 300pm to pay bills and live on (including child benefit).

I am distraught here and don't know what to do. I have tried to cut costs everywhere, I've cut the tv down to basic channels only, I've no internet, I shop in lidl/aldi etc and I don't know what the point is in working anymore.

Today, I rang a single parent organistion (she wasn't the most helpful person tbh) and she basically said to just keep working and not to go on sw and I'd get nothing off my mortgage. I do have the option of reduced hours in work and could maybe avail of some help from Fis or lpa if I did this...?

I'm kind of all over the place at the minute - either way, I have to pay those two loans pw, so I suppose I can't leave work...but I'm wondering how fis works, how lpa is assessed etc etc? I thought the lpa organisation would be more helpful, but she was quite rude and abrupt on the phone (her tone was very much 'you're lucky you have a job'...don't feel very lucky today!) so I thought I'd come here and ask if anyone can advise my entitlements if I went p/t etc etc?

Thanks for reading and sorry it's so long.

Edit; Can I just add that I've worked all my life and was only on lpa for 7 months when my baby was young, my partner left and I couldn't afford the cost of creche fees and rent. I don't actually want to apply for sw, would look on it as a huge step backwards but am finding it difficult to find another option.
 
Hi Linky,

Fair play to you for working in what must be a difficult situation.

I don't know much about entitlements, but have a look at the sticky posts at the top of the forum and you might find out some.

Are you sure you're claiming all tax credits and standard rate band that you're entitled to, esp one parent family credit?

Could you approach your mortgage lender with a view to getting them to agree to interest-only for a period until you're back on your feet? Maybe the credit union would be willing to reduce payments for a while? Any give on the creche fees?

Please remember that the point in working is so that (eventually) it will get easier, you might get promoted or get a better job, you at least have more control over your life. Think carefully before sabotaging your career for what seems like an easier option at the moment. You could regret it for an awfully long time.

Sybil
 
Hi Linky, As someone who is on LPA I would strongly urge you not to give up your job. There is a myth in this country that people on social welfare get everything handed to them on a plate - thats simply not true. I am one notch above poverty. I have 2 children so I get about 247 per week. Once you pay your bills, buy food, pay rent and creche fees you've next to nothing left. Forget about treats and days out for the kids, even buying clothes for them is going to be a struggle. You will also almost definately lose your house.

I would suggest you go on the Money Makeover section of this site. People will be able to give you better advice on managing your money. LPA is not the way.
 
So you earn aprox 600 euro a week and you want to give that up for aprox 220 a week on social welfare. How could you possibly be better off by doing this??? Your obviously very stressed and not thinking straight. I would be very sure of my facts and figures before giving up my job in this climate.

As for the credit union loan and the car loan, would it be possible for you to take out a loan that would pay off both of these loans. That way instead of two loans you would have just one to pay which would make the monthly payments smaller. Maybe the credit union would give you a top-up loan to pay off the car loan (which seems v.high).

You can get FIS if your earning less than 506 euro p/w (with one child). They give you 60% of the difference between your wages and the 506 cut off point. So not much. Not sure how the lpa works. You can get more info on the Citizens Advice website. Just google Citizens Advice and it will come up.
 
The income cut-off for One Parent Family Payment is currently €425 pw - if you earn more than that you won't qualify.
 
Another thing, might not be relevant and I'm not trying to pry, you haven't mentioned getting any maintenance from your child's father. Have you tried to get him to contribute or is he not in the picture?

Sybil
 
A visit to MABS might be in order. Or/and CIC information officer? (not defending the attitude of the OPF person that you contacted, but you seem to have loaded them with a lot of stuff outside their remit (to advise on and process OFP scheme) which would be really outside her level of expertise/remit?)
 
Hi Linky,
How did it work out for you? I'm in a similar situation now and would love to chat to you if you feel like sending me a private message.
 
You must log in or register to reply here.
Back
Top