Using Annual Gift Allowence but then claiming benefits?

Radiator

Hi,
I wish to gift some of my savings to my children by using my Annual Gift Allowence (both this year's and last years as I did not use the previous one). By giving away money from my own savings to my children I think I will become entitled to claim income-based job-seekers allowence (because my savings will then be below £16,000). While I look for work I feel like the sensible thing to do would be to claim job-seekers, but I am worried that it will appear that I have given away my money precisely to make a benefits claim. Can anyone tell me whether I am allowed to make the claim?

Thanks for your help.

Torry_Quine

I'll believe you!

I doubt very much that you'll be able to claim income based benefits as you will have given away money knowing that it would take you below the threshold. It's called deprivation of assets.

real1314

Radiator wrote: »

Hi,
I wish to gift some of my savings to my children by using my Annual Gift Allowence (both this year's and last years as I did not use the previous one). By giving away money from my own savings to my children I think I will become entitled to claim income-based job-seekers allowence (because my savings will then be below £16,000). While I look for work I feel like the sensible thing to do would be to claim job-seekers, but I am worried that it will appear that I have given away my money precisely to make a benefits claim. Can anyone tell me whether I am allowed to make the claim?

Thanks for your help.

Do you think it reasonable that a taxpayer who earns as little as £10k pa, with no savings and no benefits coming in; should support someone with over 316k in the bank who wants to get taxpayer support and give cash away?

If you don't need the cash you intend to give away, why do you need cash from the taxpayer?

Or to put it another way:- No, you can't do that. :cool:

cutestkids

You are worried that it will appear that you have given away cash in order to claim benefits, well that is what you are doing is it not you have stated as much on here.

Why should the benefits system pay for someones living expenses when that person clearly has more than £16,000 tucked away :mad:

Radiator

My motive is to help with wedding costs, I plan to help out regardless of whether I am tehn entitled to any benefits or not, I just want to make the most of the situation. Sorry if I've touched a nerve.

Thanks for the information, particularly your comments Torry.