Housing Benefit and WTC Earnings Disregard Query

blenheim

I have just started claiming WTC as over 60 and I'm working 17 hours. I already claim housing benefit and put my new income through both Entitled to and Turn2us.
I was very surprised to discover that there was a £11+ difference between the 2 amounts of housing benefit. It appears that Entitled To is calculated allowing an additional earnings disregard of £17.10 but Turn2us doesn't. Can anybody explain this please and tell me which is correct.

Caz3121

housing benefit is affected by tax credits income
https://www.gov.uk/how-tax-credits-affect-other-benefits

blenheim

Hi Caz3121 Thanks for your reply. I think you have misunderstood my query. My query is why when i put the exact same figures into both calculators I am getting different results?

Alice_Holt

I have spotted this on: http://www.richmond.gov.uk/home/services/housing/help_with_paying_your_rent_and_council_tax/make_a_benefit_claim/about_making_a_benefit_claim/income_for_calculating_benefit.htm

"There is a further £17.10 disregarded from your income if you work more than 16 hours and have
children or if you work more than 30 hours per week and do not have children."

Which doesn't quite answer your question, but as you are over 60 and receiving WTC,
I think this additional earnings disregard may also apply to you.

blenheim

Thank you for your help Alice I put my income and tax credits through the Richmond calculator and the results are the same as Turn2us which is £11.11 per week less than EntitledTo.

I think I need clarification from somebody who works in Housing Benefit. Clearly one of Entitled To or Turn2us is not correct.

Alice_Holt

A bit more info here:

W2.135 The additional earnings disregard in HB/CTB can be applied if the claimant, or their partner
• is working for 16 or more hours per week
• would be, or are entitled to, WTC, and
• fall within one of the categories of people listed below

W2.136 The following people can have the additional earnings disregard applied to their earnings
• lone parents
• couples with children
• disabled people*
• certain people aged 50 or over*
* If the claimant is part of a couple, the person who is disabled/over 50 must be the person
working 16 or more hours per week.

W2.137 Single people, and at least one member of a couple without children, must still work at least
30 hours per week in order to be eligible for WTC and have entitlement to the additional
earnings disregard. However, there is one exception, people aged 50 or over who are entitled
to the 50 plus element of WTC.

50 plus element of WTC

W2.138 People aged 50 or over only need to work 16 hours per week to be eligible for WTC.

W2.139 Identification of people aged 50 or over
• who are receiving WTC is straightforward, the 50 plus element
- will be shown on the award notice, see Annex E later in this chapter, or
- can be confirmed by the Her Majesty’s Revenue and Customs (HMRC)

From : https://www.gov.uk/government/uploads/system/uploads/attachment_data/file/236962/hbgm-bw2-assessment-of-income.pdf

I take it from this that you should be eligible for the additional earnings disregard (aed) of £17.10 pw. So Entitled To is likely to be correct as the aed is listed on its calculator.

Darksparkle

Alice_Holt wrote: »

A bit more info here:

W2.135 The additional earnings disregard in HB/CTB can be applied if the claimant, or their partner
• is working for 16 or more hours per week
• would be, or are entitled to, WTC, and
• fall within one of the categories of people listed below

W2.136 The following people can have the additional earnings disregard applied to their earnings
• lone parents
• couples with children
• disabled people*
• certain people aged 50 or over*
* If the claimant is part of a couple, the person who is disabled/over 50 must be the person
working 16 or more hours per week.

W2.137 Single people, and at least one member of a couple without children, must still work at least
30 hours per week in order to be eligible for WTC and have entitlement to the additional
earnings disregard. However, there is one exception, people aged 50 or over who are entitled
to the 50 plus element of WTC.

50 plus element of WTC

W2.138 People aged 50 or over only need to work 16 hours per week to be eligible for WTC.

W2.139 Identification of people aged 50 or over
• who are receiving WTC is straightforward, the 50 plus element
- will be shown on the award notice, see Annex E later in this chapter, or
- can be confirmed by the Her Majesty’s Revenue and Customs (HMRC)

From : https://www.gov.uk/government/uploads/system/uploads/attachment_data/file/236962/hbgm-bw2-assessment-of-income.pdf

I take it from this that you should be eligible for the additional earnings disregard (aed) of £17.10 pw. So Entitled To is likely to be correct as the aed is listed on its calculator.

The 50+ element hasn't existed for a number of years.