Incapacity nightmare for someone 59

itsnotfair_2

Basically a relative who is 59 stopped getting bereavement benefit at end of March (she did'nt know she would not always get widows pension). She was told she had to work to pension age but she can't so got a sick note and we claimed incapacity. She had at the time got savings of £12000 so did not ask for Income support but was told she had to apply.
This week she got a check off income support for 4 days in May for £4, it then said this is last payment of income support. (it is the only one too)
She has had nothing else at all since March. She also lost her council tax benefit in October as she moved to a smaller house, that is how she came to have £12000 in the bank. She is now living on it so soon it will be £10000.
The CAB can't help and have no idea what is going on. Is there really a move to make people spend all their savings in order to get benefits?

seven-day-weekend

You don't have to spend all your savings. For Income Support and Council Tax Benefit I believe you can have £6000.

krisskross

I don't see any problem with being expected to support yourself when the funds are available. Why would the taxpayer be paying when the person has plenty of money? When she is 60 she will be able to claim a pension.

donnalove

so wots the point in saving for retirement?or even buying u own home, i think the savings limit should be higher as it does penalize to many peeps that have unexpected happen to them.

Bogof_Babe

donnalove wrote: »

so wots the point in saving for retirement?..... it does penalize to many peeps that have unexpected happen to them.

I find it sad that people who are not eligible for benefits feel they are being "penalized". They should be grateful that they are sufficiently out of poverty not to need them.

I gather the person in the OP is on long-term incapacity benefit, so she's getting her share isn't she?

krisskross

donnalove wrote: »

so wots the point in saving for retirement?or even buying u own home, i think the savings limit should be higher as it does penalize to many peeps that have unexpected happen to them.

I find this a frightening point of view. We saved for retirement, still paying income tax but actually worse off than a neighbour who claims pension credit, and full housing benefits. However the money we get is OUR money, we don't have to jump through any hoops to get it, we do not worry about Governments changing their minds about how much we need.

saintjanet

I really dont understand this posting,if someone claims incapacity benefit,it is not means tested,you can be a millionaire and providing you have paid the relevant stamps,receive i.b.

If you have not paid the stamps then you claim income support which takes into account how much you have in capital,the CAB are fully aware of this and should have explained it.

krisskross

I actually think the OP means that IB was refused, perhaps due to insufficient contributions and that there is no entitlement to IS due to savings amount.

seven-day-weekend

To the OP, I think your relative should claim again when her savings go below £6000, unless her State Pension cuts in first.

Morglin

When her savings have dropped to the threshold of £6000, she shaould claim Income Support.

However, once she reaches 60, she will fall into the Pensions Credit remit, and get more money and her rent etc., paid for her.

http://www.direct.gov.uk/en/Bfsl1/BenefitsAndFinancialSupport/DG_10018692

http://www.ageconcern.org.uk/AgeConcern/fs48.asp

Lin

Oldernotwiser

donnalove wrote: »

so wots the point in saving for retirement?or even buying u own home, i think the savings limit should be higher as it does penalize to many peeps that have unexpected happen to them.

But what's the point of saving if you're not prepared to spend it when the time comes that you need it?