Can't claim JSA because I haven't paid Class 1 NI!!!

[Deleted User]

pmlindyloo wrote: »

I always find the calculation really difficult.

Have found this link but it is Northern Ireland but I believe it is the same 'rules'.

http://www.lawcentreni.org/EoR/benefits-and-tax-credits/jobseekers-allowance.html

Scroll down to Section 2.

Personally I can't get my head round the figures but perhaps it's the heat!

OP, if I were in your position I would have a read of the link and if you still think you are eligible (or you can't work it out) then ask them to look at their decision again.

They do make mistakes!

Very confusing. First condition mentions 26 times LEL but then 2nd condition says its got to be 50 times.

But its still only £5100 for 2011. However, I did only work in a PAYE job until middle of May that year. But then I got pay and redundancy payment.

If I only paid NI on the salary then it may have been under £5100. Depends what I paid NI on.

Rest of the year I had no salary (working through my own ltd company).

EDIT - Just checked. May 2011 gross was £19700. This was pay, pay in lieue of notice, redundancy payment. In fact, paid £513 employees NI.

Taxable pay to date up to that payslip (including) was £14.5 so I was way over the LEL. Weird.

midnight_express

That would explain why you don't qualify.

[Deleted User]

midnight_express wrote: »

That would explain why you don't qualify.

what would?

notanewuser

[quote=[Deleted User];62562963]Very confusing. First condition mentions 26 times LEL but then 2nd condition says its got to be 50 times.

But its still only £5100 for 2011. However, I did only work in a PAYE job until middle of May that year. But then I got pay and redundancy payment.

If I only paid NI on the salary then it may have been under £5100. Depends what I paid NI on.

Rest of the year I had no salary (working through my own ltd company).

EDIT - Just checked. May 2011 gross was £19700. This was pay, pay in lieue of notice, redundancy payment. In fact, paid £513 employees NI.

Taxable pay to date up to that payslip (including) was £14.5 so I was way over the LEL. Weird.[/QUOTE]

You say elsewhere that you take a salary and dividends from your ltd company. To draw a salary you must be an employee of the company. What level was your salary set at?

I work for my own ltd company too. I take just over £7k per annum in salary (just over the NI LEL). I am employed and get paid my salary whether I work a contract or not.

You keep avoiding my questions relating to this, but it's important.

I can't believe, with an annual income of £60k you are going to these lengths for £70!

midnight_express

The fact that you only worked for a few weeks of the 2011/2012 tax year. You don't pay NI on lieu of notice and redundancy pay. How much did you EARN in that YEAR ?

[Deleted User]

notanewuser wrote: »

You say elsewhere that you take a salary and dividends from your ltd company. To draw a salary you must be an employee of the company. What level was your salary set at?

I work for my own ltd company too. I take just over £7k per annum in salary (just over the NI LEL). I am employed and get paid my salary whether I work a contract or not.

You keep avoiding my questions relating to this, but it's important.

I can't believe, with an annual income of £60k you are going to these lengths for £70!

Sorry. Same with me I pay that salary too.

But, I finished permie job in may 2011. So I got paid for 6 weeks plus I had PILON and redunadancy payments totalling about 20K.

As such, accountant advised that there was no point paying salary until next financuial year. Since NI allowance had been used up.

Where'd u get annual income of £60K from? More than that on a good year :-)

Not bothered about this time but I want to be able to claim if I ever need long term.

[Deleted User]

midnight_express wrote: »

The fact that you only worked for a few weeks of the 2011/2012 tax year. You don't pay NI on lieu of notice and redundancy pay. How much did you EARN in that YEAR ?

You do pay NI on PILON but not redundancy

notanewuser

[quote=[Deleted User];62563681]Sorry. Same with me I pay that salary too.

But, I finished permie job in may 2011. So I got paid for 6 weeks plus I had PILON and redunadancy payments totalling about 20K.

As such, accountant advised that there was no point paying salary until next financuial year. Since NI allowance had been used up.

Where'd u get annual income of £60K from? More than that on a good year :-)

Not bothered about this time but I want to be able to claim if I ever need long term.[/QUOTE]
Can't have it all ways though. If you want to pay less tax and NI then you can't have the access to benefits as well.

[Deleted User]

notanewuser wrote: »

Can't have it all ways though. If you want to pay less tax and NI then you can't have the access to benefits as well.

Works for immigrants.... :-(

notanewuser

[quote=[Deleted User];62563903]Works for immigrants.... :-([/QUOTE]

It doesn't, actually!!!