Carers allowance and Work place pensions

andrew71

Hi, my wife currently gets carers allowance (CA) for our daughter but there's rumours that they are due to get a pay rise in October. If this is true and she does it will push her wages over the £100 per week allowed to earn before she can claim CA. She's received the information regarding the new work place pensions (WPP). What we were wondering is if she pays into the WPP would this help count towards the CA allowance? For example if her wages were £105 per week and she paid £24 per month (£6 per week) into the pension plan meaning her take home pay is £99 per week.

sleepless_saver

Half the pension contributions are ignored.
http://www.carersuk.org/help-and-advice/help-with-money/benefits-a-tax-credits/carers-allowance/who-can-get-carers-allowance?start=1

rogerblack

As I understand it, only half of some pensions may count in this way, so you might need to pay in 48/mo.
Any expenses 'wholy, and unavoidably incurred' at work (not getting to work) are allowable.
Secondly - are you in work? It may be worthwhile you swapping over the CA claim, if not.
http://www.dwp.gov.uk/docs/dmgch60.pdf is the decisionmakers guide for carers allowance.
This refers to the income guidelines in http://www.dwp.gov.uk/docs/dmgch15.pdf

15380 Net earnings are gross earnings less
1
1. income tax and
2. Primary Class 1 SS contributions and
3. half of any sum paid by the employee, towards an occupational or personal
pension scheme
4. expenses not reimbursed by employer

If you pay for care for your daughter, in some circumstances this may be allowable as an expense.