End of Pension Credit

anmarj

confuseddaughter wrote: »

An Assessed Income Period.


A time limited (generally 5 years) period where any increase in retirement provision as well as increases in capital are ignored completely

but does not apply to benefits. Although the Guaranteed element of PC has increased the savings credit has not, in fact it has decreased, this means with some cases that the increase in State Pension along with increase in any private/works pensions that apply means that people especially on savings credit only are finding a decrease in their Pension Credit along with quite a few being taken off the benefit totally.

anmarj

pmlindyloo wrote: »

Since this is tax payers' money I have no problem with the benefit departments asking for evidence of income and savings. As already said because Pension Credit has no maximum level for savings (just deductions from the PC ) someone can claim it and still receive full HB and CT support with a quite high level of savings.

only if they get the Guaranteed Element, which I think I have mention to you before. If it is savings credit only then the rules of £16k apply to all housing and council benefit claims.

confuseddaughter_2

anmarj wrote: »

but does not apply to benefits. Although the Guaranteed element of PC has increased the savings credit has not, in fact it has decreased, this means with some cases that the increase in State Pension along with increase in any private/works pensions that apply means that people especially on savings credit only are finding a decrease in their Pension Credit along with quite a few being taken off the benefit totally.

I'm sorry but I think that you are missing the point.


If you are receiving just a few pennies of Guaranteed Pension Credit and Savings credit and have an AIP in place, no amount of increase in capital or pension will change the award.


You can inherit £1m and have a £30,000 increase in a pension, but it will not affect a GPC award with an AIP in place and you will still be entitled to max HB & CTB.

anmarj

I know about AIP and PC, seeing I process them. The AIP only applies to capital and private/works pension, ANY state benefits are not part of retirement provision, so therefore if you have an increase in SP you can lose PC. I have seen people whose SP has increase due to widowhood and lose PC with out any other changes

Meaning of retirement provision
83065 Retirement provision means
1
any of the following
1.
income from an occupational pension scheme
2
2.
income from a personal pension scheme
2
3.
income from an overseas arrangement
3
4.
income from a retirement annuity contract
4
5.
income from annuities or insurance policies purchased or transferred for the
purpose of giving effect to rights under a personal pension scheme or an
overseas arrangement
5
6.
income
6
from an annuity purchased or entered into for the purpose of crediting
a former partner with a share of pension rights on divorce
7
7.
any pension payable out of money
provided under the Civil List Acts
8
Vol 14 Amendment 23 October 2010
8.
payments made to a person by or on behalf of a former employer on account
of early retirement on grounds of ill-health or disability
9
9.
income from annuity contracts other than those mentioned in DMG 83065
4.!
6.
10
10.
income from capital
11
11.
any payment made at regular intervals under an equity release scheme
12
12.
any payment made under the Financial Assistance Scheme
13
13.
periodic payments from the Pension Protection Fund
14
.
Note:
Retirement provision
does not
include
15
state retirement benefits paid in
accordance with
the Act
16
.
1 SPC Act 02 s 7(6); 2 s 16(1)(f); 3 s 16(1)(g); 4 s 16(1)(h); 5 s 16(1)(i); 6 s 16(1)(j);
7 WRP Act 99, s 29(1)(b); 8 SPC Regs, reg 16; 9 reg 16(1)(l);
10 SPC Act 02, s 7(6)(b); 11 s 7(6)(c); 12 SPC Regs, reg 16; 13 reg 16(n);
14 SPC Act 02, s 7(6)(d); 15 s 7(6)(a); 16 SS CB Act 92

maggy50

anmarj wrote: »

I know about AIP and PC, seeing I process them. The AIP only applies to capital and private/works pension, ANY state benefits are not part of retirement provision, so therefore if you have an increase in SP you can lose PC. I have seen people whose SP has increase due to widowhood and lose PC with out any other changes

Meaning of retirement provision
83065 Retirement provision means
1
any of the following
1.
income from an occupational pension scheme
2
2.
income from a personal pension scheme
2
3.
income from an overseas arrangement
3
4.
income from a retirement annuity contract
4
5.
income from annuities or insurance policies purchased or transferred for the
purpose of giving effect to rights under a personal pension scheme or an
overseas arrangement
5
6.
income
6
from an annuity purchased or entered into for the purpose of crediting
a former partner with a share of pension rights on divorce
7
7.
any pension payable out of money
provided under the Civil List Acts
8
Vol 14 Amendment 23 October 2010
8.
payments made to a person by or on behalf of a former employer on account
of early retirement on grounds of ill-health or disability
9
9.
income from annuity contracts other than those mentioned in DMG 83065
4.!
6.
10
10.
income from capital
11
11.
any payment made at regular intervals under an equity release scheme
12
12.
any payment made under the Financial Assistance Scheme
13
13.
periodic payments from the Pension Protection Fund
14
.
Note:
Retirement provision
does not
include
15
state retirement benefits paid in
accordance with
the Act
16
.
1 SPC Act 02 s 7(6); 2 s 16(1)(f); 3 s 16(1)(g); 4 s 16(1)(h); 5 s 16(1)(i); 6 s 16(1)(j);
7 WRP Act 99, s 29(1)(b); 8 SPC Regs, reg 16; 9 reg 16(1)(l);
10 SPC Act 02, s 7(6)(b); 11 s 7(6)(c); 12 SPC Regs, reg 16; 13 reg 16(n);
14 SPC Act 02, s 7(6)(d); 15 s 7(6)(a); 16 SS CB Act 92

This is all beyond me

They are not looking to claim Pension Credit again and are happy with the explanation that the SP has taken them over the limit.

As an update they had a call from the benefit officer at the council and she has promised to ring them back on Wednesday .

xylophone

They are both on state pension and have been receiving a small amount of pension credit due to the husband having an small private pension.

http://www.ageuk.org.uk/Documents/EN-GB/Factsheets/FS48_Pension_Credit_fcs.pdf?dtrk=true might be worth a look.

confuseddaughter_2

anmarj wrote: »

I know about AIP and PC, seeing I process them. The AIP only applies to capital and private/works pension, ANY state benefits are not part of retirement provision, so therefore if you have an increase in SP you can lose PC. I have seen people whose SP has increase due to widowhood and lose PC with out any other changes

Meaning of retirement provision
83065 Retirement provision means
1
any of the following
1.
income from an occupational pension scheme
2
2.
income from a personal pension scheme
2
3.
income from an overseas arrangement
3
4.
income from a retirement annuity contract
4
5.
income from annuities or insurance policies purchased or transferred for the
purpose of giving effect to rights under a personal pension scheme or an
overseas arrangement
5
6.
income
6
from an annuity purchased or entered into for the purpose of crediting
a former partner with a share of pension rights on divorce
7
7.
any pension payable out of money
provided under the Civil List Acts
8
Vol 14 Amendment 23 October 2010
8.
payments made to a person by or on behalf of a former employer on account
of early retirement on grounds of ill-health or disability
9
9.
income from annuity contracts other than those mentioned in DMG 83065
4.!
6.
10
10.
income from capital
11
11.
any payment made at regular intervals under an equity release scheme
12
12.
any payment made under the Financial Assistance Scheme
13
13.
periodic payments from the Pension Protection Fund
14
.
Note:
Retirement provision
does not
include
15
state retirement benefits paid in
accordance with
the Act
16
.
1 SPC Act 02 s 7(6); 2 s 16(1)(f); 3 s 16(1)(g); 4 s 16(1)(h); 5 s 16(1)(i); 6 s 16(1)(j);
7 WRP Act 99, s 29(1)(b); 8 SPC Regs, reg 16; 9 reg 16(1)(l);
10 SPC Act 02, s 7(6)(b); 11 s 7(6)(c); 12 SPC Regs, reg 16; 13 reg 16(n);
14 SPC Act 02, s 7(6)(d); 15 s 7(6)(a); 16 SS CB Act 92

That is as maybe, but it does now make me wonder about mum & dad. They have a new 5 year AIP in place and a GPC award. For the previous 5 years up to when dad started to get his state pension it never changed despite mum's State Pension going up each year, they still received the same amount of money under the existing GPC award.

anmarj

confuseddaughter wrote: »

That is as maybe, but it does now make me wonder about mum & dad. They have a new 5 year AIP in place and a GPC award. For the previous 5 years up to when dad started to get his state pension it never changed despite mum's State Pension going up each year, they still received the same amount of money under the existing GPC award.

The state pension has always increased, only two scenarios, I can think of,

1. he lives abroad and in a country where the SP will never increase of living abroad

or

2. The SP is paid into a savings account and then transferred over to the current account (yes this does happen!) but the customer does not change the standing order from the savings account to the current account each year, so the excess income stays in the savings account

Your dad will get an uprating letter each year from State Pension telling him what the yearly entitlement is. Pension Credit also send out a yearly letter telling him what his PC entitlement is from uprating along with details of how it is worked out. You may need to check for them:)

maggy50

Having read the 42 page explanation I am of the opinion that it is all designed to confuse ?

No wonder we need Age Uk CAB etc.

I feel for any pensioner at the mercy of the benefits rules especially as they were born in the UK paid their taxes all their working life in retirement they are both in ill health and have not burdened the system for DLA and whatever .. I am forewarned

sleepless_saver

maggy50 wrote: »

I feel for any pensioner at the mercy of the benefits rules especially as they were born in the UK paid their taxes all their working life in retirement they are both in ill health and have not burdened the system for DLA and whatever .. I am forewarned

So they may be entitled to attendance allowance but have chosen not to claim? It's their choice, but as you say they have paid their taxes all their lives. Plus a successful claim for attendance allowance will increase the amount the government says they need to live on, so could well result in other benefits, e.g. pension credit, being increased.