JSA entitlement and savings

shinkansen1966

Last summer, lost my job of 10 years. Started claiming contribution based JSA.

After claiming 4 months of contribution based JSA, was back in work again. The JSA was paid because of my NI contributions and my means were never tested. All well and good. Now, contribution based JSA is only paid for a maximum of 6 months.

So, I'm back in full time work. It's a 12 month fixed term contract which ends Feb 2011. I could well find myself back on the dole.
When my job ends, I could choose to start claiming contribution based JSA again. But have already claimed 4 months worth over the winter period 2009-2010. After six months of contribution based JSA, you go over to means tested JSA. My savings take me over the means tested JSA limits. So no JSA payments and no means tested housing benefit either. I rent, I don't own.

As I've previously used up 4 months of the 6 months contribution based JSA amounts, I can only get another 2 months of JSA and after that no benefits at all.

Here are my dilemmas. When I loose my job in Feb 2011, I could decide NOT to start claiming the remaining two months' JSA to which I am entitled. The six month contribution based JSA entitlement starts again when you have two tax years of Class I NI and no claims for JSA. For me, that means, submitting no more claims for JSA until at least 6 April 2012. Plus making sufficient NI contributions.

I'm in my mid 40s. So the other possibility, is to pay all of my savings into my personal pension, EXCEPT the last remaining £6000. This has two benefits: my pension contribution are tax deductable or boosted from net to a gross amount. And my savings are now below the level that I get means tested JSA and housing benefit. Remember, I rent.

Any comments or suggestions ?

Wee_Willy_Harris

£6K is the LOWER limit. Even with savings over this amount, you would still get some help with JSA/HB.

[Deleted User]

you may lose your job in feb 2011,so you have a few months to save up,if you made a claim for means tested benefits and you were found to have used money in a way to gain benefits you may still be classed as having that money anyway(deprivation of capital).
If you currently have 6k+ in savings and can add to that over the coming months you should have enough to live on for at least 6 months while you find another job.