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Back-dated benefits award after BR

NINANinja · 2014-02-09 18:29:57

Hi All Happylympics to everyone. I'm undischarged & I'm due for some backdated benefits, which will be paid as a lump sum. Some of it relates to before I went BR. Will I be able to keep the money, or will the OR snaffle it? My only income is benefits at the mo. Ta NN

Comments

debt_doctor Posts: 4,595 Forumite

11 February 2014 at 10:59AM

What it really boils down to is that the OR can't take a benefit lump sum, because it is not an asset that can vest in the trustee (an exempt asset if you like)
A benefit lump sum is income, and can be added to earned or private pension income to form the basis of a calculation for an IPA. Usual IPA rules apply, including no IPA where the entire income is from benefits.

DD

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