Unemployed and not entitled to JSA

r710

Hi,

Really need some urgent advice.

My husband had to close his business recently after making a loss, it just wasn't sustainable. He is now personally liable for the business debts as he was a sole trader and he will have to go bankrupt.

So, he's now had two appointments at the job centre and they have today told him he isn't entitled to any benefits as he didn't pay Class 1 N.I contributions (because the business wasn't making money in the end) and because as his wife, I earn too much. I earn £11.5k per annum, (am part-time). How on earth am I meant to support a family of 4 on that?

We are about to lose the childcare element we get because my husband is out of work and therefore considered able to look after our child. This will seriously hamper his ability to go looking or work. So, our tax credits are about to decrease. Haven't made the call yet, know I have to but dreading the consequences.

Realise we'd be entitled to housing benefit but they closed my claim at the end of March 2011, claiming I have been overpaid. I sent a letter asking for reconsideration over 6 weeks ago and they still haven't dealt with it. (They had my husbands projected figured for the year as £22k when in fact he made a loss). Meanwhile they won't allow me to make a new claim.

Without my husband being on benefits, we are not able to apply for a crisis loan or anything like that.

What on earth am I supposed to do? I get paid tomorrow £849, but our rent goes out a few days later and that's £795, nevermind the rest of the bills and my debt payments...

Does anyone have any idea of other help that may be available?

Thanks

r710

MrsManda

Have you tried putting your household details into the benefits calculators on direct.gov and turn2us? these should give you a rough idea of what you can claim.

https://www.dwpe-services.direct.gov.uk/portal/page/portal/ba/lp?_piref278_36249_278_36248_36248.__ora_navig=

http://www.turn2us.org.uk/benefits_search.aspx

I think you need to chase your council with regards to HB and ask what evidence they need of your husbands income for 10/11. Do you receive tax credits?

r710

Thanks for your quick reply, MrsManda.

I have used the calculator you referred to and it shows that our tax credits will decrease when I tell them my husband is unemployed.

It show we are entitled to Houisng Benefit, but there seems to be confusion about this. I was told weeks ago they wouldn't open up a new claim whilst there was a dispute but someone helse has just told me they will. Whilst this is positive news, given an appeal can take months I've been told, it will still take weeks for a new claim to be assessed and paid.

Just wondering what I'm meant to do in the meantime. I certainly don't have enough to pay everything. Guess I'll have to advise my creditors and hope they'll agree a reduced payment in the meantime, and possibly get into arrears with the rent, something I really didn't want to do with a bankruptcy looming..

What a scary time.

Thanks

MissMoneypenny

If you post over on the Debt-Free wannnabe forum, they will be able to give you advice on paying debts and cutting your outgoings. The old fashioned board will be able to give you advice on cutting your food costs while eating a healthy diet.

MrsManda

It may be worth speaking to the jobcentre to see if you qualify for a crisis loan. I think you can call them and ask for an appointment or else call the benefits line and discuss it with them.

Paying the rent should be your first priority, see whether you can reduce the payments/take a payment break on the rest of your bills while you get things sorted.

r710

Thanks, Miss Moneypenny, have been an avid reader of the debt-free board for years. Clearly never had my lightbulb moment until now though! Will go back and get some inspiration though.

Mrs Manda, unfortunately you can only apply for a crisis loan if you receive some sort of benefit. Clearly I am grateful we have a benefits system in this country but find it somewhat shocking that you can not be entitled to anything when you've worked hard (business failed following a van blowing up and the expense that ensued afterwards, and the recession, with just no phone calls coming in - so a relatively short space of time), tax was paid, just not the N.I contributuions.

Have just called the water board to hold the payments while we sort this mess. Fingers crossed the other utilities/creditors etc will be as understanding ....

Fingers crossed an overpayment of tax-credits will be paid to me soon, as I over estimated our income by £7k...

Thanks for your thoughts

sunnyone

r710 wrote: »

Thanks, Miss Moneypenny, have been an avid reader of the debt-free board for years. Clearly never had my lightbulb moment until now though! Will go back and get some inspiration though.

Mrs Manda, unfortunately you can only apply for a crisis loan if you receive some sort of benefit. Clearly I am grateful we have a benefits system in this country but find it somewhat shocking that you can not be entitled to anything when you've worked hard (business failed following a van blowing up and the expense that ensued afterwards, and the recession, with just no phone calls coming in - so a relatively short space of time), tax was paid, just not the N.I contributuions.

Have just called the water board to hold the payments while we sort this mess. Fingers crossed the other utilities/creditors etc will be as understanding ....

Fingers crossed an overpayment of tax-credits will be paid to me soon, as I over estimated our income by £7k...

Thanks for your thoughts

You are mistaken about NI contributions, only employed people pay class 1's so even if he had payed some NI he wouldnt be eligable for JSA.

Can you not increase your hours?

r710

Hi sunnyone, thanks for taking the time to reply.

It was the man at the job centre who told my husband that he wasn't entitled to income based JSA due to lack of "Class 1" N.I contributions and because my income was too high (at £11.5k per annum).

Perhaps he didn't give the correct advice then? (Not the first time this has happened with various agencies in recent days) Is my husband entitled to request a further appointment? Following a telephone call from Job Centre Plus we duly gathered all of the information required, made my husband a C.V etc and they didn't even look at any of it. Stopped him as soon as they heard my income, and had established a lack of N.I contributions.

Unfortunately I am employed within the public sector and there is no scope to increase my hours. I'm lucky to have survived two rounds of redundancies.

Thankfully a Housing Officer has offered to look into whether the Council could use their "preventative fund" to help pay our rent this coming month, while this whole fiasco with the overpayment and new claim is sorted.

The guy at the Job Centre just said, nothing we can do for you. "Unfortunately you're in neither category, sorry for your wasted journey".

Has anyone else found themselves in this position, and how did you survive?

Thanks

viktory

I am keeping my family solely on my wage (three adults) as we are not entitled to any help at all. I do work full time and am on a good wage so am in a better position than you, but it is still tough. There is no money for luxuries.

sunnyone

r710 wrote: »

Hi sunnyone, thanks for taking the time to reply.

It was the man at the job centre who told my husband that he wasn't entitled to income based JSA due to lack of "Class 1" N.I contributions and because my income was too high (at £11.5k per annum).

Perhaps he didn't give the correct advice then? (Not the first time this has happened with various agencies in recent days) Is my husband entitled to request a further appointment? Following a telephone call from Job Centre Plus we duly gathered all of the information required, made my husband a C.V etc and they didn't even look at any of it. Stopped him as soon as they heard my income, and had established a lack of N.I contributions.

Unfortunately I am employed within the public sector and there is no scope to increase my hours. I'm lucky to have survived two rounds of redundancies.

Thankfully a Housing Officer has offered to look into whether the Council could use their "preventative fund" to help pay our rent this coming month, while this whole fiasco with the overpayment and new claim is sorted.

The guy at the Job Centre just said, nothing we can do for you. "Unfortunately you're in neither category, sorry for your wasted journey".

Has anyone else found themselves in this position, and how did you survive?

Thanks

No, your misunderstanding me, no one self employed for more than 2 years (two years because you need the previous two full years of class 1's) can go onto contributions based JSA because they havnt paid class 1 NIC's because the self employed dont pay class ones but classes 2 and 4's depending on how much they make or they are excused by a low earnings certificate.

A couple need £105 pw to live on according to the goverment which is why he isnt entitled to any income based JSA and the goverment pay child tax credits so they are seen as kept and so they arnt counted, can you or your husband take on a part time job to help out while you get through this?

r710

Oh I see... So confusing, well, to me anyway!

£105 per week per couple? It's not much is it. I'm not hoping for anything more than to be able to pay the bills and be able to feed us but.... That's a whole new debate.

I guess, theoretically we will be entitled to some housing benefit/council tax benefit once I can get them to look at my claim.

My husband is actively looking for work. He's been to the agencies and thankfully he has some skills in demand. They're waiting for references to come back to them and hope to be able to use him soon, but I won't relax until it's confirmed. We just have to get through the next few weeks.

I already work quite unpredictable hours so finding a supplementary job wouldn't be easy as I'd hope. I'm currently on the last leg of a selection process to undertake another degree paid for by my work, but this will take time (much of it outside of work hours) before I see a pay rise. It's the plan in the long term anyway...Just getting myself through this selection process has taken all my efforts, along with trying to wade though my husband's bankruptcy paperwork. My emotional health is already suffering, trying desperately trying to hold it all together. I sound like a shirker but I really just couldn't take anything else on myself right now without the work I already do, suffering more than it already is.

Will ask my husband to get ebaying, car-booting and onto the free-ads to try to make some extra in the meantime.

Thanks