Stop CMS When Child Quits Education?

 Introduction

Good morning! I produced the video below in June 2022, but its still relevent today. During the summer months, many parents are grappling with the decision of whether to continue making child maintenance payments, especially now that some children have completed college and are either starting jobs or heading off to university. The answer to this question isn't entirely straightforward; it depends on a few factors that I'll explain, in the article and the video.

The Importance of Child Benefit Cut-Off Dates

To shed light on this matter, it's essential to grasp the significance of the child benefit cut-off dates. Suppose a child has been in education and has recently finished exams, perhaps around mid-June. In that case, the child benefit agency will continue to provide child benefit payments until September. Consequently, child maintenance payments will typically follow this timeline and be cut off around the same time. This practice is rooted in the observation that many students often return to college for further studies or take time to figure out their future path.

The Four HMRC Child Benefit Cut-Off Dates

Here's a piece of information that often escapes notice: child benefit has four cut-off dates throughout the year.

    28/29th February

    31st May

    31st August

    20th November. If these dates are a Sunday Child Benfit Stops. If not, it continues to the following Sunday which will be at the beginning of the next month.

So, let's get to the crux of the matter: if your child concludes their education before June and starts a job, child benefit should have ceased by 31st May, or a few days after. Conversely, if they finish their education after June 1st and subsequently become unemployed, child benefit will continue until the end of August with potentially covering the period up to around September 6th of the same year depending on when the first Sunday is from 31st August.

A Real-Life Example

Allow me to illustrate with a recent case I handled. In this scenario, a child completed their education in April, and the Child Maintenance Service was informed of this in May. However, the service still insisted on receiving child maintenance payments, citing the ongoing child benefit payments. A swift contact with the child benefit agency clarified matters. As it turned out, since the child had left education in April, child benefit should have completely stopped by June 1st. This clarification swiftly resolved the case.

Takeaway: Know the Cut-Off Dates

To sum it up, if your child wraps up their education before June and enters the workforce, the Child Maintenance Service should cease payments from June 1st. This is because child benefit payments should also have ceased. If, on the other hand, they leave education after June, the next crucial cut-off date is around September 4th or 5th.

Conclusion

I hope this explanation has shed light on the often-confusing issue of child maintenance payments. It's important to understand the interplay between child benefit cut-off dates and child maintenance payments to ensure that both parents and children are on the same page. Remember, if your child concludes their education before June, their path into the workforce should also mark the end of child maintenance payments. For those finishing education after June, expect child maintenance to continue until around September. If you have any more questions, feel free to reach out. Have a wonderful day, and I'll catch you later. Cheers!