Carers allowance - is this correct?

[Deleted User]

I have friend who is a carer receiving carers allowance and who works part time (8 hrs Sat + 8 hrs Sun) she is allowed to earn £100 per week before it effects her carers allowance. Due to NMW increase she now gets £100.96 per week and has been told she will lose all her carers allowance due to being 96p per week over?? Is that right?

Thanks in advance

rogerblack

This is correct.
However.
Pay someone a pound a week to do something for the cared-for person, and it will take you below the limit.

There are a list of exclusions that mean that income may not count.
To quote from http://www.nhs.uk/CarersDirect/moneyandlegal/carersbenefits/Pages/CarersAllowance.aspx

What can I deduct from earnings when calculating Carer's Allowance?

You're allowed to deduct the following:

• any payments you make to someone (other than a close relative) to look after the severely disabled person you normally care for while you're at work – up to half your net earnings can be ignored this way
• any payments you make to someone (other than a close relative) to look after your child (or children) under 16 while you're at work – up to half your net earnings can be ignored this wa

So, she needs to pay someone a pound a week to look in occasionally on the cared-for person, and then she remains eligible.

epitome

You might want to write to your MP and CC Iain Duncan Smith MP

And ask them how is the government committed to supporting our home carers - with NHS supplied carers being so much more expensive option for the government.-

When, since 2010 the earnings rule for Carers Allowance has been frozen at £100.00 not increasing even with inflation, nevermind Minimum Wage increases. Whilst at the same time ESA Permitted Work HL was
£93 in 2010,
£95 in 2011,
£97.50 in 2012,
£99.50 in April 2013 and £101.00 in October 2013.

[Deleted User]

the solution may be to work 15 mins less on both days

Elvisia

There is a solution to this - when you fill in the form to say you're working you declare something you've had to buy to do your job. So this could be a 99p pencil. When I was over the limit for my Carers Allowance and I rang up to declare it the woman she asked me if I had bought anything to do my job, then said was I really really sure, so I said I'd bought a bit of stationery but surely that wasn't declarable and she said that was fine. It's £100 a week after expenses (they send you a list of what you can declare). You can also pay a friend to look after the person you care for, therefore bringing your £100 down per week.

rogerblack

Elvisia wrote: »

There is a solution to this - when you fill in the form to say you're working you declare something you've had to buy to do your job. So this could be a 99p pencil.

Yes, it could.
However, for the avoidance of doubt - it has to be only for work, and the employer must not provide it.
It must also be purchasing for use _at_ work - for example travel costs to the workplace are not deductible in this way.

Elvisia

I have claimed Carers Allowance for both self employed work and work for an employer, and both had forms with a huge list of things you can claim for although it's not travel or anything (useful) like that. They also don't ask for receipts. It really is open to abuse, but get your friend to review the list to see if they can put anything down.

[Deleted User]

Thank you all for your replies. In the short term she is taking 1 hour unpaid leave this month which brought her pay below the maximum amount.
Moving forward her employer has suggested she may want to contribute some money to the works pension? Is the £100 per week gross or net?
Failing that they will allow her to reduce her hours to 15.75 per week (£99.38)
Real feel for her she is practically housebound all week caring for her Mum and working in this busy cafe at weekends is the only social interaction she gets bless her, if she had had to give it up she would of been devastated.

pmlindyloo

Deleted_User wrote: »

Thank you all for your replies. In the short term she is taking 1 hour unpaid leave this month which brought her pay below the maximum amount.
Moving forward her employer has suggested she may want to contribute some money to the works pension? Is the £100 per week gross or net?
Failing that they will allow her to reduce her hours to 15.75 per week (£99.38)
Real feel for her she is practically housebound all week caring for her Mum and working in this busy cafe at weekends is the only social interaction she gets bless her, if she had had to give it up she would of been devastated.

Yes, this I another way of reducing her income.


She can deduct half the money towards an occupational/private pension from her gross salary.


See here:


http://www.carersuk.org/help-and-advice/help-with-money/benefits-a-tax-credits/carers-allowance/who-can-get-carers-allowance