Housing Benefit: working under 16 hours per-week

wintersun_2

Hi, I am single, over 25 and live alone.

I am working more than 30 hours a week for a job I hate. I have been deeply depressed for a long time and have been thinking about reducing my hours and setting up my own business.

I called my local council 2 months ago and told them I wanted to leave my job and spend time setting up my own business. I said, it would take a few months of preparation before I could start trading and register as self-employed. I also said I would not sign on for JSA as I would not look for a job while trying to set up my own business. The council worker told me: 'if you are not working, and not entitled to JSA you cannot claim Housing Benefit!!'

I found the website 'entitleto' today. It seems to suggest that i can still get housing benefit and council tax benefit even if I am not working and not seeking for work. I am very confused.

If I reduce my current hours and just work 10 hours a week voluntarily, will my council stop my housing benefit?

I would be very grateful if you could offer me some advice.

Thanks!

alwaysonthego_2

Your LHA/HB could stopped if you stop signing on, but you can put in a claim for being on a low income. You should inform the LA asap.

If you do over 30 hours you could claim WTC depending on your income.

wintersun_2

alwaysonthego wrote: »

Your LHA/HB could stopped if you stop signing on, but you can put in a claim for being on a low income. You should inform the asap.

If you do over 30 hours you could claim WTC depending on your income.

Thank you very much for your input.

How come entitleto shows that I will be paid HB and CTB when I filled in information as not working, not seeking for work, or working under 16 hours?

I am paid WTC and HB now (low income). If I reduce my current working hours to under 16, I don't think I will be entitled to JSA - because it is my own choice to reduce the hours/ leave the job. Does anyone know if I can still have my HB?

hippy-chicy

They can assess your claim based on your current income . The wont stop your claim. However, if you reduce your earnings below 16 hours you will loose your earnings disregard from your HB/ CTB assessment and also your working tax credits .

wintersun_2

hippy-chicy wrote: »

They can assess your claim based on your current income . The wont stop your claim. However, if you reduce your earnings below 16 hours you will loose your earnings disregard from your HB/ CTB assessment and also your working tax credits .

Thank you for your reply.
I know I will not have working tax credits if I work under 16 hours. According to entitleto's calculation my HB and CTC's payment will increase if I reduce my hours to under 16. Can anyone tell me if this is correct? Is there any condition?

I just want to know if my local council have given me the wrong information.

Many thanks!

wintersun_2

wintersun wrote: »

According to entitleto's calculation my HB and CTC's payment will increase if I reduce my hours to under 16.
Many thanks!

I always thought someone like me (childless, not disabled nor sick) would not be entitled to any benefit if I work under 16 hours, or unemployed but not looking for jobs. I really don't understand why entitleto's calculation shows quite the opposite. Can someone explain this a bit more?

Sorry for being so thick.

thanks a lot!

Macro_3

Housing benefit works differently - it's very common to pay housing/council tax benefit to people who for one reason or another have no employment/are not seeking work or claiming benefits/no children etc.

real1314

wintersun wrote: »

I always thought someone like me (childless, not disabled nor sick) would not be entitled to any benefit if I work under 16 hours, or unemployed but not looking for jobs. I really don't understand why entitleto's calculation shows quite the opposite. Can someone explain this a bit more?

Sorry for being so thick.

thanks a lot!

It can be paid in the circumstances you suggest. JSA requires you to be signing on; ESA reqquires you to be sick; Income Support requires you to be a single parent or carer; HB only requires that you have to pay rent. After that it's all about your income.

wintersun_2

Thank you all for your help!!

wintersun_2

I called my local council again. I was told if I leave my job and become unemployed, the council will only pay me HB and CTC up to 6 weeks.

Has anyone heard of this? Does anyone has more information on this?

gre20863

HB is a mean tested benefit and is award based on your income, if you certify to them what your income is (10 hrs a weeks) then they will pay it, however councils are reluctanct to pay when you are receiveign under the governement amount set for you to live on, which is £63.40 a week it think at the moment, so they do leagally have to pay your housing benefit while you are on a low income but they will pester you to death about your currently circs and you may find they keeop suspending your benefit, but as long as you keep intouch with them about what you are doing they have no right to state that after 6 weeks you get nothing. this is incorrect... I am an HB assessor