How will inheritance affect my benefits?

silk1234

One of my parents passed away recently, leaving me and my brothers and sisters their estate. It was always stated that estate was to be split equally, regardless.

My problem is that I am not working and claiming benefits, such as housing benefit, council tax benefit and jobseekers allowance.

I am quite sure that when we get the money from the sale of the house and savings we will get about £30k each. I imagine that this will affect my benefits, such I won’t be able to claim any of them.

I want to spend the inheritance on a house once I am in work. I don’t want to use the money unless I have to.

How can I protect my money so that it will not affect my benefits? Could I split my money to my sisters until I get a job? Or even ask one of them to take the money and pay it to me slowly?

I understand people will say you shouldn’t claim benefits when I have savings. But I don’t want to waste my parent’s money, just use it as a deposit on a house.

I almost wish I never had this worry hanging over my head.

Please can anybody help?

Torry_Quine

Sorry but it would be seen as deprivation of assets and you would be treated as if you still had the money if you gave it away or spend it to get rid of it.

paddedjohn

Do you really want a truthful answer or do you want a pack of lies and a load of sympathy?

rogerblack

silk1234 wrote: »

I understand people will say you shouldn’t claim benefits when I have savings. But I don’t want to waste my parent’s money, just use it as a deposit on a house.

A others have said deprivation of capital applies.
In addition, this applies if you do such things as vary the will, which is entirely legal from a probate POV - but irrelevant to benefits.
If you could have inherited, and varied the will so you did not - you will be treated as if you had the money. Similarly if you put it into a trust, or ...

There isn't anything you can really do.
Unfortunately, while it would have been easy, comparatively inexpensive and legal for your parents to setup a trust for you with limited aims 'pay for house, and utility bills' say - you can't put the genie back in the bottle.
You are now entitled to receive the cash - it will affect benefit.

Housing_Benefit_Officer

£30k your means tested benefits stop, housing benefit will start once your capital drops below £16k. They will want to see how you spent every penny. If your relatives hide your capital for you to continue to claim benefits then they will be accomplices in your benefit fraud and will be held jointly accountable in any subsequent prosecution. Remember your name would have been passed on as a beneficiary for tax purposes and Data Matching will show you have received £30k+.

princessdon

This is a great opportunity to re evaluate life. Tax credits are not means tested, get a job and you can use as a deposit on a house, sorted

Poppie68

Op how could you afford to buy a house while claiming benefits anyway? £30k is a great way of becoming self sufficent and getting off the benefits train.



EDIT: Sorry just seen you state you want the £30k for a deposit once you are back in work...will you be able to get a mortgage? Lots of couples both in employment can't get mortgages these days..anyway totally irrelevant as you will not be entitled to means tested benefits once you recieve the £30k., Hopefully though you will be back in work very soon and the money can be saved for a rainy day...

MEM62

silk1234 wrote: »

One of my parents passed away recently, leaving me and my brothers and sisters their estate. It was always stated that estate was to be split equally, regardless.
Sorry for your loss.

My problem is that I am not working and claiming benefits, such as housing benefit, council tax benefit and jobseekers allowance.

I am quite sure that when we get the money from the sale of the house and savings we will get about £30k each. I imagine that this will affect my benefits, such I won’t be able to claim any of them.
You won't need to as you will have the means to support yourself and not rely on the State to do so. :-)

I want to spend the inheritance on a house once I am in work. I don’t want to use the money unless I have to.
You have to as you have no job.

How can I protect my money so that it will not affect my benefits? Could I split my money to my sisters until I get a job? Or even ask one of them to take the money and pay it to me slowly?

I understand people will say you shouldn’t claim benefits when I have savings. But I don’t want to waste my parent’s money, just use it as a deposit on a house.
Spending money on supporting yourself is not wasting it. And expecting others to support you so you can save for a house is not what the benefit system is there for. It is to help those and need it - not those with £30K in the bank.

I almost wish I never had this worry hanging over my head.
I don't see why it should. Having money is a good thing - not a burden.

Please can anybody help?

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