Update your income estimates
It’s important to let us know as soon as possible if your income changes, as this can mean the student could be due more or less student finance.
- To update your income estimate, simply fill out a new CYI form and return it to us.
- We’ll then reassess their student finance application and let them know if their student finance changes.
- We’ll send out a reminder to ask if your household income has changed.
When you update your income estimate, think about if you’ve:
- Worked overtime or extra hours
- Received any maternity or paternity pay
- Done any casual work, shift work or contract work
- Had any pay rises, bonuses or redundancy pay
- Changed jobs or returned to work
- Had any income from self employment
Has the student been paid too much?
If you don’t keep your income details up to date, or underestimate your household income, the student could be paid too much. If this happens, we’ll reduce their future student finance payments and ask them to repay the extra finance they received. We will ask them to repay the extra finance before they leave university or college and before their income is over the repayment threshold.
Current Year Income assessment - Has your household income dropped?
1 Check if you’re eligible
If your household income has not dropped by 15% over the full year
You will not be able to ask for a current year income assessment unless you expect your household income to drop by at least 15% over the current tax year. Keep in mind, being on furlough for a few months during the COVID-19 outbreak may not give you a 15% drop in income over the full 2020-21 tax year.
Remember it’s the combined income for your household, so if only one person’s income has dropped, this might not be enough to ask for a current year income assessment.
For example, if both parents in a household earn £20,000, the household income would need to go down by at least 15% of £40,000. In this example, this would be a drop in household income of at least £6,000 across the year, regardless of whether one or both people in the household have had a drop in income.
If your household income was less than £25,000
Your child or partner will already be assessed for the maximum amount of funding, so there’s no need to ask for a current year income assessment.
But you might still be able to ask us for one if:
- they need it to get more bursary or scholarship from their university or college
- they have children or an adult who depends on you financially
This is because the household income threshold for bursaries and Dependants’ Grants can be lower than other types of student finance. They should check with their university or college before you ask us for a current year income assessment.
If your household income is expected to be more than £70,000 or if your child or partner is not getting student finance based on household income
It’s unlikely they will be able to get any extra student finance, but you can find out more to see if you can ask for a current year income assessment.
You can apply for a current year income assessment by downloading a form and sending it to us.
You can apply at any point until the last day of your child or partner’s academic year.
You do not have to apply now if you’re not able to. If you send us a current year income application towards the end of the academic year, we’ll make sure your child or partner doesn’t lose out on student finance because of it.
If you’re not sure if the COVID-19 outbreak will have an impact on your household income, you don’t need to apply now. You can wait until you know more.
3 Keep your household income estimates up to date
Once you’ve applied and we’ve done a current year income assessment, you must let us know if your household income changes at any point throughout the year. For example, if you’ve:
- worked overtime or extra hours
- changed jobs
- had any pay rises, bonuses or redundancy pay
! If you don’t keep your household income estimates up to date, or if you underestimate your household income, your child or partner could be paid too much student finance and will be asked to pay it back.
4 Confirm your household income at the end of the tax year
After the tax year finishes, we’ll ask you to let us know what your actual household income was and send us evidence of this. We’ll usually ask you for this at the end of the tax year in April 2021.
! If you don’t do this, your child or partner’s student finance payments will be reduced and they’ll be asked to pay some of it back.
5 What happens next
Once we know your actual household income at the end of the tax year, we’ll be able to check if the amount we gave your child or partner was correct.