THERE’S 10 key money changes coming in October you’ll want to take note of.
Among the changes, millions of households are set to receive a £300 cost of living payment within weeks.
GettyThese are the 10 big money changes coming in October[/caption]
Meanwhile, the price of first-class stamps are going up and the £2 bus fare cap is ending. Here’s everything you need to know.
Energy price cap – October 1
Ofgem’s new energy price cap is coming into effect from October 1, meaning a typical dual-fuel tariff household will pay £1,923 a year for their energy bills – £151 less than now.
The energy price cap works by setting a limit on the maximum amount suppliers can charge for each unit of gas and electricity.
It’s not a cap on how much you can be charged for the energy that you use – so if you use more, expect to pay more.
For example, a larger home with two parents and four children may go over the £1,923 figure, whereas a single-person household might not.
We’ve explained the exact amount your energy direct debit will drop by from October depending on the size of your home.
First-class stamps going up in price – October 2
The Royal Mail is upping the price of its first class stamps on October 2 – from £1.10 to £1.25.
Second class stamps will be staying the same price – 75p.
It comes after the Royal Mail ousted old-style stamps and replaced them with barcoded ones in July.
The business said the move would make letters more secure.
Applications open for Winter Fuel Payment – October 4
State pensioners can apply for the Winter Fuel Payment via phone on October 4.
Postal applications opened on September 18.
Most people receive the Winter Fuel Payment automatically but some have to apply for it.
That means you could receive £600 in total.
You will receive a letter in October or November saying how much you’ll get and should receive the money in November or December.
Self-assessment register deadline – October 5
If you’ve never completed a self-assessment tax return, you have to register with HMRC by October 5, for the 2022/23 tax year.
You will most likely have to fill in one of these tax returns if you are self-employed or haven’t had tax deducted from your income.
You may also have to file a self-assessment tax return if you’ve earned extra cash outside your normal employment.
For example, if your self-employed income is over £1,000 or you had to pay the High Income Child Benefit Charge.
Inflation – October 18
Figures for September’s Consumer Price Index (CPI) level of inflation are out on October 18.
In August, in a surprise turn, inflation slowed to 6.7% from 6.8% in July.
But September’s figures are crucial as they are generally used to decide how much benefits will rise by the following April.
The CPI level of inflation is used to explain how much the price of goods and services have increased over time.
It is known as a “backward-looking measure”, which means it indicates what has happened over the past year.
If inflation figures are higher, you’re getting less for your money than before.
Clocks change – October 29
Millions will get an extra hour in bed on October 29 when the clocks go back at 2am.
But, for night shift workers, it means an extra hour of work and potentially more pay.
Whether or not you need to work an extra hour will depend on how your employment contract is worded.
If you’re one of the unlucky people who has to work the extra hour, whether you will get some extra cash depends on how you are usually paid.
If you’re paid by the hour, you should get some extra money for working longer.
But if you are salaried or paid a day rate, your company doesn’t have to pay you any more than usual.
£300 cost of living payment – October 31
Eight million households will start receiving a £300 cost of living payment between October 31 and November 19.
Those in line for the tax-free payment don’t have to do anything as it is being made automatically.
You need to have been entitled to a payment for any of the qualifying benefits below between August 18 and September 17 to be eligible for the free cash.
Universal CreditIncome-based jobseekers allowanceIncome-related employment and support allowanceIncome supportWorking tax creditChild tax creditPension credit
If you were later found to be entitled to any of the above benefits between the same dates you will also be eligible for the payment too.
Households on tax credits only will receive their payment from HMRC between November 10 and 19.
This is to ensure that those on other benefits and tax credits will not get the payment twice.
Deadline to file self-assessment tax return by post – October 31
The deadline for filing your self-assessment tax return by post is October 31.
If you miss the deadline by up to three months you will be charged a £100 penalty.
If you miss the deadline by over three months you will be charged more on top of this.
But don’t worry as if you don’t send your paper form on time, you can fill out your tax return online.
You have to do by January 31, 2024.
Bus fare cap ending – October 31
The £2 bus fare cap was launched on January 1 this year in a bid to encourage commuters back on to buses.
A number of bus operators, including Arriva Midlands, Central Connect in the East of England and Cumbria Classic coaches, signed up to the scheme.
But it is ending on October 31 and the fare cap will then be hiked to £2.50 for single tickets.
This cap will last until November 30, 2024.
Warm Home Discount scheme opening – October
The Warm Home Discount scheme, offering households £150 off their energy bill, is due to reopen in October.
However, no exact date has been announced.
The money is not paid to you, but is a one-off discount on your energy bills between October 2023 and March 2024.
Customers on prepayment meters will most likely be sent a top-up voucher.