Grant of Probate?

r_i_c

Hello,

The grant of probate has arrived and I am the sole executor and inherit the balance of an estate. This will push me over the JSA limit for benefits but I am on contributions-based JSA so it looks as if my JSA(C) will continue?

Also there is the Council Tax relief (office) to inform.

The balance of the estate has not yet been transferred to me of course as 'capital', the grant only arrived a matter of hours ago, I am in the process of writing to the estate bank. So technically my 'circumstances' have not yet changed.

However, what should do with regard to JSA / Council Tax right now please - or do I wait until I receive formal notification that my capital/savings now exceeds the DWP figure set for benefits?

Or are there different rules for JSA(C) and Council Tax relief?

Many thanks

pmlindyloo

You do not need to inform anyone of your change of circumstances until the inheritance hits your bank account and only then if it is over £6000. No amount of capital/savings will effect contribution based JSA.

Are you receiving council tax reduction? If so this will be affected although if you live alone you will be eligible for the 25% discount.

r_i_c

pmlindyloo wrote: »

You do not need to inform anyone of your change of circumstances until the inheritance hits your bank account and only then if it is over £6000. No amount of capital/savings will effect contribution based JSA.

Are you receiving council tax reduction? If so this will be affected although if you live alone you will be eligible for the 25% discount.

Thanks, that limits the amount of letter writing for a while. So when I receive formal notification that the inheritance has been credited to my bank account I inform both the DWP and local council /Council Tax.

Yes, indeed I am living alone.

Thanks again.

Ames

Don't forget that if the estate includes property it could take a while to sell. I've finally received an inheritance four years after grant of probate was issued, because of various hold ups.

So hold off on any spending plans until you've actually got the cash!

r_i_c

Ames wrote: »

Don't forget that if the estate includes property it could take a while to sell. I've finally received an inheritance four years after grant of probate was issued, because of various hold ups.

So hold off on any spending plans until you've actually got the cash!

Thanks. Hopefully that won't be an issue because I am living in the household now - not thinking of downsizing in the immediate future, so the property isn't up for sale, although I did get it valued as part of the IHT requirement.

konark

It's an interesting position, as you are the executor and you are the beneficiary. If you live in the house that will not be counted as capital.

You can release the funds when you wish to, you can leave the funds in the estate for years if you wish ( if you can get away with it) and continue to claim means-tested benefits. You can award yourself an interim payment of less than £5,500 and don't need to tell anyone. Spend it then award yourself another!

r_i_c

konark wrote: »

It's an interesting position, as you are the executor and you are the beneficiary. If you live in the house that will not be counted as capital.

You can release the funds when you wish to, you can leave the funds in the estate for years if you wish ( if you can get away with it) and continue to claim means-tested benefits. You can award yourself an interim payment of less than £5,500 and don't need to tell anyone. Spend it then award yourself another!

I'm afraid I don't really understand what you mean. I inherit the balance of the estate. I will be over the limit re. capital for JSA(I) support, even discounting the value of the property.

rogerblack

konark wrote: »

You can release the funds hen you wish to, you can leave the funds in the estate for years if you wish ( if you can get away with it) and continue to claim means-tested benefits. You can award yourself an interim payment of less than £5,500 and don't need to tell anyone. Spend it then award yourself another!

This is absolutely not the case.

If you are awaiting capital that you cannot reasonably access due to court and process delays - then you do not have this capital.
If you are awaiting capital because you have not bothered to apply for what is yours, then you can be assessed as if you had this capital, and it will affect your benefits.
Doing the above will get you assessed as if you still had the 5.5K - _and_ the amount of capital available on application.

At best, you will face having to repay, as well as a civil penalty, at worst, criminal prosecution for benefit fraud, as well as asset forfeiture proceedings to recover the money - where they can do unusual things - for example - selling your only house.

r_i_c

rogerblack wrote: »

At best, you will face having to repay, as well as a civil penalty, at worst, criminal prosecution for benefit fraud, as well as asset forfeiture proceedings to recover the money - where they can do unusual things - for example - selling your only house.

That was exactly my 'polite' point in not understanding what konark was suggesting, it sounded bizarre & unethical.

While everyone has the right to think and express what they want on MSE, surely there is a point at where common sense prevails: moderators?