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How does household income affect an application?

If the student has asked to be income assessed we’ll use the total taxable household income to determine the level of support that the student is entitled to. Household income is the combined total income of the student and the parents or partner that they live with. This doesn’t include any income the student might have from full or part-time work.

If you don’t provide details of your household income the student will only be entitled to basic support.

If you provide details of your income, and it’s below a certain threshold, the student can receive more financial help, such as:

  • Welsh Government Learning Grant or Special Support Grant
  • Maintenance Loan
  • Childcare Grant
  • Parents’ Learning Allowance
  • Adult Dependants’ Grant.

Find out what financial help is available:

If your household income drops by 15% or more

When the student applies for finance based on household income, you need to provide your financial information for a particular tax year.

If your total household income has dropped by at least 15% since the tax year we ask about on the application, you can apply to be assessed based on the current tax year instead. You can also apply for a current year income assessment if your income changes during the academic year while the student is studying.

Academic year the student is applying for Tax year we need actual income details for Tax year we need estimated income details for if your total household income has dropped by at least 15%
2020 to 2021 2018 to 2019 2020 to 2021
2019 to 2020 2017 to 2018 2019 to 2020

At the end of the tax year you’ve provided estimated income details for we’ll contact you to ask for evidence of your income for that tax year.

Who counts as a member of the household?

If you’re the parent of a student and the student normally lives with you, the following rules apply:

  • If you’re separated or divorced, your income counts towards the household income but the income of the student's other natural parent does not.
  • If you have re-married or you live with a partner, their income will count towards the total household income and they will need to provide information and evidence of it.
  • If you re-marry or start to live with a partner before the start of the academic year, your spouse/partner’s income will be taken into account even though you may not have been living with one another during the tax year we ask about.

If you have other children

If you’re the parent of a student and you have other children who are financially dependent on you, the first £1,130 of your total household income will be disregarded regardless of the number of other children who are wholly or mainly financially dependent upon you.

For example: say you earn £20,000 per year and have two children, one of whom is a student. We will disregard £1,130 of your income and consider you to have an income of £18,870 for the purposes of assessing the total household income.

Additional forms and guides you may need

If you have been asked to provide financial information in support of an application and completed a paper tax return, you may find the following guide useful.

Complete this form if you don't sign the paper application form when the student applied for finance:

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