Can I Protect My Savings While on Benefits?

Naf

Dunroamin wrote: »

When someone asks whether accounts can be checked and whether there are accounts that can avoid this checking then they're clearly looking for advice about how to commit fraud.

No, they are asking if there are any accounts which are exempt; places the money can legally be put which are not counted.

Cornucopia

Surely anything which is legal counts as "avoidance" and is as moral (or otherwise) as all other forms of tax planning or tax avoidance.

In the OP's situation, there's no question: if they can find a pension scheme that will take the lump-sum, but not require regular payments, then that would be ideal.

Alternatively, paying capital from the mortgage.

As a general question: how does the Benefits Agency work out the savings equivalent when people have an offset mortgage?

JCD_Capulet

mrobsessed wrote: »

The 1,300+ people who have been reading this thread since yesterday seemingly disagree and this figure suggests that people are very interested in this topic.

I'd suspect those 1,300+ folks are biting their lip.

I don't understand the logic of wanting to eat into NI contributions when there's a sum of money on the way which could see the OP through until his next gainful employment.

That's about as nice as I can be on this subject.

missapril75

Naf wrote: »

No, they are asking if there are any accounts which are exempt

So asking for details of accounts that wouldn't be discovered was just a red herring. Gotcha.

mrobsessed

Cornucopia wrote: »

In the OP's situation, there's no question: if they can find a pension scheme that will take the lump-sum, but not require regular payments, then that would be ideal.

But while that may be an option, in practice how useful would that be?

If I was able to put, say, £5k into a pension scheme in the next few weeks, and then in a years time needed the money, wouldnt it only be worth a fraction of what I'd paid in if I cashed it in so early?

Ravenshade

@MrObsessed

You can start up a pension at any time... you're still in employment...isn't it reasonable to look towards pensions?

A bitcoin is an alternative decentralized encrypted currency that is not regulated by the Bank of England. https://www.bitcoin.org has a lot of information on the matter.

As for permission to spend money on carpets, if it's far about your usual amount of spending per month, probably... but I doubt you'll need permission. The benefits office 'might' say that you'll need to wait a while before benefits. Expect to have to survive at least a month on your own savings... it'll be good practice when you go on JSA.

An ISA counts as savings...

As for the pension idea...

You will have to look into it. You can draw a private pension at any time. MSE has some articles on pensions and how much they are worth but you will have to check your own pension provider.

fredandwilma

mrobsessed wrote: »

The 1,300+ people who have been reading this thread since yesterday seemingly disagree

And the 800 views you've had in the four hours since you made that post?


mrobsessed, i don't know why you are so obsessed?


I have sourced an estimation for your eligibility for benefits, (approximate, you understand,) and even with your 15k savings you could still be eligble for £52.45 jsa per week, be entitled to full ctb, and you MAY also qualify for help with interest payments on your mortgage. You have the 15k to tide you over.


Why don't you just call it quits?

fredandwilma

PS


Don't forget to declare the income from any lodgers you might have.

Dunroamin

missapril75 wrote: »

So asking for details of accounts that wouldn't be discovered was just a red herring. Gotcha.

Glad someone can read!

mrobsessed

fredandwilma wrote: »

with your 15k savings you could still be eligble for £52.45 jsa per week, be entitled to full ctb, and you MAY also qualify for help with interest payments on your mortgage. You have the 15k to tide you over.

Your maths is way off. By my understanding, if I had 16K savings I'd get nothing, so 15K will be about £4 a week.

I'd be on Contribution based JSA for 6 months so wouldn't need to worry about savings until then anyway, and could only claim motgage interest relief after about 9 months of benefits.