See para 2.16 and in particular the box in green, posted below for ease of reference. Interesting to see that they refer to the old pre tax credits calculations as well as the current calculations when children are involved.
Also they refer to the family premium/basic family rate as part of the calculation. Any thoughts on this as I know we usually say the amount should be £105.95 plus £57.57 for each child and don't refer to the family premium or indeed to the two different sets of rates? I also wonder when they apply the old formula and when they apply the new? Do you think it is if the sponsor is in receipt of CTC they apply the new but if they are under the old system they apply the pre tax credit income support rates?
and2.16 Those wishing to bring a non-EEA national spouse or partner (and dependants) to the UK already have to show they can maintain and accommodate them. But it can be difficult for the UK Border Agency to apply this requirement consistently, and for sponsors to assess whether they meet it. The threshold is set at Income Support level, and there are two possible thresholds for those wishing to sponsor dependants: one based on the pre-September 2005 benefits system and one based on the post-September 2005 benefits system of child tax credits
Applying the current maintenance requirement In calculating whether a sponsor meets the current maintenance requirement, caseworkers follow a 5-stage process: 1. Establish the sponsor‟s current income: From evidence provided. The net income is established and if the income varies, an average is calculated. Disability living allowance can be included as income. 2. Establish the sponsor‟s current housing costs: From evidence provided. 3. Deduct the housing costs from the net income 4. Calculate how much the sponsor and his family would receive if they were on Income Support: The Income Support rates are increased annually. Note that (a) if the sponsor has dependent children under 18, they will receive child tax credit32 in addition to personal allowances (cases pre-dating September 2005 will receive a personal allowance for each dependent child and a family premium); and (b) where the sponsor is aged 60 or over, the calculation should be based on the minimum guarantee pension credit rates, rather than Income Support.
5. Compare the sponsor‟s net income after deduction of housing costs with the equivalent Income Support rate Example calculation Sponsor is a married man aged 40 asking for entry clearance for his wife and their 16 year old son. Sponsor‟s average weekly income is £300 and his weekly rent and council tax payments amount to £180. Sponsor‟s net income £300.00 Less housing costs £180.00 Net income for comparison £120.00 Equivalent Income Support rates Personal allowance for couple aged over 18 £105.95 Basic family rate £ 10.48 (£17.40 for legacy cases) Tax credit for dependent child £ 49.13 (£57.57 for legacy cases) Total Income Support rate for comparison £165.56 (£180.92 for legacy cases) As the Income Support rate is higher than the net income, the sponsor would not meet the maintenance requirement.