HMRC urges people on less than £80,000 a year to check if they can claim free money

HM Revenue and Customs (HMRC) is encouraging individuals earning under £80,000 annually to verify their eligibility for extra money. The government agency advised on social media that people should "make sure you're not missing out on money".

In the UK, parents and guardians can apply for Child Benefit, which is designed to assist with the costs of child-rearing. This payment, distributed by HMRC, provides a certain amount for each child below 16 years old, or under 20 if they are in full-time education or sanctioned training.

Claiming Child Benefit also accrues National Insurance credits, contributing towards one's State Pension. At present, Child Benefit offers £25.60 weekly for the first child, equating to £1,331.20 annually.

For every additional child, the rate is £16.95 per week. Therefore, with two children, the annual total is £2,212.60, and for three children, it reaches £3,094.

From April 6, 2024, the threshold to qualify for any Child Benefit will be an income of £80,000, but those earning more than £60,000 may have to pay the High Income Child Benefit Charge. This week, HMRC has reiterated its call for individuals to check their entitlement to this benefit, reports the Liverpool Echo.

In a statement on X, HMRC said: "Think you earn too much to receive Child Benefit payments? Check again to make sure you're not missing out on money. To see what you could get, use our Child Benefit tax calculator below, before restarting payments online or in the HMRC app."

If you or your partner earn £60,000 or less annually, you're eligible to claim the full amount of Child Benefit if the child resides with you, or if you're contributing an equivalent weekly sum towards their upkeep. However, only one parent or carer can claim per child, as highlighted by the Express.

Child Benefit, along with numerous other benefits, is set to increase by 1.7% in April next year. From the new fiscal year, the rates will climb to £26.05 per week for the eldest or only child and £17.25 for any additional children.

This means that from April 2025, the benefit will be worth £1,354.60 annually for one child, £2,236 for two children, and £3,117.40 for three children per year. You can claim Child Benefit 48 hours after registering your child's birth, or once a child starts living with you, and it can be backdated for up to three months.