I think (no am sure) my cousin has the rules wrong on claiming?

sunnyone

ISAs are ignored for tax credits because they are tax free and only taxable income is counted, so you can have 10s of thousands of pounds yet claim full tax credits, the world is mad.

alwaysonthego_2

sunnyone wrote: »

ISAs are ignored for tax credits because they are tax free and only taxable income is counted, so you can have 10s of thousands of pounds yet claim full tax credits, the world is mad.

but not for pension credits?

real1314

Assuming the OPs cousin or partner is over 60 and is claiming Pension Credit, then they may not have a problem if they have actually declared the savings.

For Pension Credit there is no limit to the amount of savings as such, but they do affect the amount that can be paid. The rate is £1 per week per £500 over £6k.

If you get the Guarantee Credit part of Pension Credit, you still get full HB and CTB even if you have savings over £16k

alwaysonthego_2

real1314 wrote: »

For Pension Credit there is no limit to the amount of savings as such, but they do affect the amount that can be paid. The rate is £1 per week per £500 over £6k.

I thought it had gone up to £10,000 in November? I may be wrong though, hopefully someone will confirm.

healy

alwaysonthego wrote: »

I thought it had gone up to £10,000 in November? I may be wrong though, hopefully someone will confirm.

Yes it has gone up to £10,000.

tboo

If the ops relatives are receiving pension credit then they have to inform the Pension Service as well as the LA to give them up to date capital.
If the relatives receive PCg then having such a large amount in capital may not effect the claim as long as they have a low household income
The PS will determine if the £50,000 has an impact on their side and inform the LA, the claim for HB/CTB will still go ahead if they receive PCg as the LA will wait for their decision, if they are on PC only then the claim will cease as they have over £16,000.
If they do have too much capital then the LA will take them off HB/CTB and recalculate the claim from the appropriate date.
.
The LA have to use figures given to them from the PS to calculate claims for anyone claiming either PCg or PC.