housing benefit nightmare !!!!!!!!!!!!

DreamerV

fawd1 wrote: »

Thanks for your help, bu unfortunately where we live, it is the best rent we can find. Most rents round here are over 1000 a month.We live in a flat above shops so it's not exactly a luxurious place. The problem with tax credits is that we've been told that because he earnt just over the cut off point (by about 30 pounds) we are not entitled to anything except the aforementioned 20p a week.

I didn't count on you living in London (I live in Scotland, my mortgage is several hundred pounds less than your rent, and rent in the area is approx £220 a month for a room, £350 per month for a 1 bedroom furnished flat...I know we can't all be so lucky). If he's above the cut off for tax credits...have you given an updated estimated on what he thinks he will earn this tax yr plus what you will earn this tax yr (as opposed to your p60 amount). There is something you can do, but you need to really think about it before you go ahead. Tax credits are based on the lower earnings you have had between current tax yr and previous tax yr....so in most cases is based on the previous yr. If you give your estimate and his, at a much lesser amount, you will get much higher tax credits. Bear in mind if you do this, you'll be getting overpaid, so when you do your declaration (by 31st July 2009), within a few wks, they'll send you an overpayment notice, to pay back at most over 12months. This won't affect your credit rating....you just phone up and agree a schedule. This will only work if your major struggles are just now while you are not working...not if the problem is more longterm as then you'll struggle to pay back too. Also bear in mind,that when you declare incomes to tax credits, it does not include maternity allowance (or stat sick pay, or the amount of stat maternity pay of or below £100)

scooby1001

If the money you have come in is only £1,200 a month or less total then the council has made a mistake in it's caculations(just cos they say it is right does not mean it is) and you have to go back to them. They must have sent you a letter stating how they came to that amount. If they did go through it with a fine tooth comb. I had problems with my rent this year. They kept saying i owed money and i say i didnt. I went through everything with a fine tooth comb and found they had debited my housing benefit instead of crediting it.

Alleycat

In the letter you received from the Housing Benefit department is there a calculation of how they reached your entitlement? Usually there is and this should explain where they have got their figures wrong. If this is not on the letter, then I would suggest that you ring the HB department as soon as possible.

You are usually allowed one month from the date of the letter to appeal a decision and so if the calculations are wrong (which they appear to be going on what you have told us of your income) then you should submit an appeal letter with further evidence of income as soon as possible.

If you miss the appeal deadline, you will then have to submit a new claim and request a backdate which they may or may not grant.

Alleycat

OK, based on an income of £276.92 per week (£1200 per calendar month) and assuming no savings the following calculation should be correct:-

Applicable amount for couple both over 25yrs - £94.95

£276.92 - £94.95 = £181.97 (excess income)

£181.97 / 100 x 65 = £118.28

Rent £196.15 p/w - £118.28 = £77.87 HB per week

You should check the current LHA rates for your area and bedroom size required i.e. couple no children would be one bedroom.