Childrens savings effect on benefits?

richpoortyke

I hope someone can give me a definitive answer or a link as i am struggling to find out.
Im currently working full time but am likely to find myself redundant come Chrsitmas so i wanted to know where i stood.

I currently have around £5000 in savings and may have to make a claim for JSA and Housing benefit in the new year.
I also have a child who is actually a full time student living with me. She has around £2000 saved towards her future education and works a few hours at the weekend and claims EMA grant of £30 a week.

Will any of this affect a JSA claim or a housing benefit claim?

Thanks for any help

AsknAnswer2

None of that would affect your claim. Her money is hers and nothing to do with your claim. However her living there may affect your housing benefit claim when she is not a student as a non dependent deduction may be applied.

Your money is below the lower capital limit of £6000 for income based benefit.

If it was £6000 or more then it could affect income based benefit but not contributory based benefit. Housing benefit and council tax benefit is income based. JSA can be income based or contributory based, depending if the NI condition is satisfied.

If you paid sufficient class one NI contributions in the qualifying years, you would be eligible for contributory based JSA (which you can receive for a maximum of 26 weeks) which is unaffected by savings.

richpoortyke

Thanks i thought there was a £6000 rule somewhere.My concern was her money being taken into account. I noticed on a Housing benefit claim form online that it asks for childrens savings and wondered if they added it to mine.

welshsue

They will look at childrens savings accounts. Be careful as this could take you over the threshold. I claim housing and council tax benefit as well as other benefits for disability and the last time someone came to my house to do a benefit check I had to show both my childrens bank/savings account statements to prove how much they had.

AsknAnswer2

Children meaning just that - children. If she is a "full time student" and in employment then I assume that although your child, she is an adult.

zzzLazyDaisy

If you she is getting EMA, that suggests that you are also getting child benefit for her? If that is right, she counts as a dependent child and her savings are taken into account.

richpoortyke

zzzLazyDaisy wrote: »

If you she is getting EMA, that suggests that you are also getting child benefit for her? If that is right, she counts as a dependent child and her savings are taken into account.

Im confused again now. So dependents savings ARE taken into account? Doesnt this contradict the first reply?
The money is hers and in her name. I dont have access to this money. Apart from a few hours on a weekend she doesnt work and is a F/T student. I receive CTC amd CB for her so in effect is still regarded as a child.
From what you are telling me i may have my HB reduced therefore if i was unemployed for quite a while i may have to ask her to give me money out of her account?
Somehow that doesnt seem right

zzzLazyDaisy

Unfortunately if she is a dependent child (which she is if you are receiving CB for her) then her savings are taken into account.

You may wish to consider whether you (or she) has essential outlay which may result in some of the money being spent before you get made redundant. If that is the case, familiarise yourself with the deprivation of capital rules, and keep all receipts.

[Deleted User]

savings over £3000 will count,£2000 wont

zzzLazyDaisy

woodbine wrote: »

savings over £3000 will count,£2000 wont

I'm not sure what you mean by this?

The over-all household allowance for savings is £6000 before they start to affect benefit entitlement.

[Deleted User]

but kids savings dont count towards anything until they have more than £3000 in savings