Permitted Work

Witch_Hazel

After some advice, please.

Son on income related ESA in support group. Over the Xmas period he managed to secure a temp job at local supermarket stacking shelves. This was 7 hours per week, this didn't affect his ESA as he was under 16 hours per week and under the £104.00 permitted work higher limits.

Now he has been offered 15 hours per week but his wage £105.30 will now take him just over the higher limit. What happens with regards to his ESA, does he lose the whole amount or do they (DWP) just deduct the £1.30 extra from his ESA.

Have been trawling internet and seem to get conflicting advice, did see this on entitled to.
Other allowed work

The following kinds of work are also allowed:

care of a relative or domestic tasks carried out in your own home
work done as a councillor. Any payments over £104 a week will be deducted from your benefits
duties as a member of the DLA Advisory Board or as a ‘disability member’ of an appeal tribunal – one day a week is allowed (or two half days)
an approved work trial arranged in writing with the employer by the DWP (or an organisation providing services to the DWP) for which you will receive no wages



http://www.entitledto.co.uk/help/Permitted-Work-Rules

System

From what i can find after googling it may stop his entitlement to ESA.

Hopefully someone better knowledged will come along and claify

eadieb

any work whilst claiming ESA is excluded unless it is 'permitted work'. If he goes over the limit of earnings per week then I think his claim will effectively end. Permitted work is only permitted work, if you have contacted DWP and they have sent you a special form out which you fill in with details of the work and they then write back to you telling you if you are allowed to do it.

If you are self employed then you can average your permitted work earnings out but if you are on paye then it is what you earn each week on your wage slip.

You could go to your local citizens advice bureau and ask if someone can copy the Permitted Work rules for you so you can have a read through them as they vary depending on the disability needs of the claimant.

you may wish to investigate how much working tax credits your son would get if he worked 16 hours per week. this is an alternative to esa. there are some complicated rules about entitlement to the Disability premium of Working tax credits. Usually a single person has to work 30 hours to get WTC but the rule is only 16 if he meets rules for disability premium of WTC. people who have been on ESA for six months or sick leave or who get DLA or PIP are example of claimants who might be eligible. It can be a substantial amount of extra money to top up his wages and make up for the loss of ESA.

I think if he did 15 hours pw work but was earning too much to get ESA, the WTC option might be better for him. CAB will be able to do a calculation to show how much better off he might be, taking into account rent and council tax etc.

rogerblack

xXMessedUpXx wrote: »

From what i can find after googling it may stop his entitlement to ESA.

Hopefully someone better knowledged will come along and claify

This is as I understand it the case.
One penny over the limit ends entitlement to ESA. (unless averaging provisions come into play - which is unlikely)
Assuming he does not pay tax - if he does - it is quite possible that the total after tax is below the limit.

eadieb

sorry to go on. I have dealt with a case of a claimant of carers allowance being found to be only 90p per week over the limit for that benefit and she was being asked to pay back months or carers allowance payments because the dwp found out about it. and then it has a knock on effect on things like the persons other income related benefits and housing benefits etc. they all then decide you owe them money as well. So it is definately worth getting checked.

Witch_Hazel

Thanks for all your help, really appreciate it. Need to discuss things with employer need either to go to 14 hours or 16 hours so he can claim WTC.

Horseunderwater

If he went down the 16 hour route with DWTC weekly total = 206.07 - but by working 14.75 hours PW total earned with IR ESA = £227.24. So if the employer would knock work down by 15 minutes per week - your son would be miles better off on 2nd option. Hope that helps a bit.