Housing benefit and Student Loans

cts_casemod

Hi guys,

Can someone advise how exactly the maintenance portion of the student loan counts for benefit purposes?

I'm commuting 240 miles, twice a week, to attend studies as I have a child and unfortunately cant live away. The council sent my partner a letter saying they want to account for my student finance income from December onwards in their calculations.

With such moneys being a loan I will have to repay, is this technically a source of income?
If so, shouldn't expenses related to attending my course be deductible?

Thanks

marliepanda

cts_casemod wrote: »

Hi guys,

Can someone advise how exactly the maintenance portion of the student load counts for benefit purposes?

I'm commuting 240 miles, twice a week, to attend studies as I have a child and unfortunately cant live away. The council sent my partner a letter saying they want to account for my student finance income from December onwards in their calculations.

With such moneys being a loan I will have to repay, its technically a source of income?
If so, shouldn't expenses related to attending my course be deductible?

Thanks

Usually some of the student loan is taken into account as income. Yes it has to be paid back but as it has earning thresholds which mean some people never pay it back, plus written off at certain points, then subsequently it is still treated as income.

I do not believe theyll take your petrol expenses into account, as they are not a necessary part of the course such as books etc. You must have chosen a course so far away.

Housing_Benefit_Officer

cts_casemod wrote: »

Hi guys,

Can someone advise how exactly the maintenance portion of the student load counts for benefit purposes?

I'm commuting 240 miles, twice a week, to attend studies as I have a child and unfortunately cant live away. The council sent my partner a letter saying they want to account for my student finance income from December onwards in their calculations.

With such moneys being a loan I will have to repay, its technically a source of income?
If so, shouldn't expenses related to attending my course be deductible?

Thanks

Expenses aren't deductible.

Student loans are counted as income for benefit purposes. Even if you refuse the student finance you will be counted as still receiving it.

cts_casemod

marliepanda wrote: »

Usually some of the student loan is taken into account as income. Yes it has to be paid back but as it has earning thresholds which mean some people never pay it back, plus written off at certain points, then subsequently it is still treated as income.

Any idea how this is calculated? One off payment? Divided over a given period? I stopped qualifying midterm due to changes in the last semester.

Mersey_2

Housing_Benefit_Officer wrote: »

Student loans are counted as income for benefit purposes. Even if you refuse the student finance you will be counted as still receiving it.

I think you must be thinking of the old Student Loans.


Yes, the maintenance element of Student Loans do count as income.


But the Student Loans element for fees certainly does not.


Nor do some others (such as the Access to Learning Allowance, as well as other special grants and bursaries that are for childcare or course-related costs).


There also appears to be some differences depending where you live eg Manchester City Council disregards:


The first £10 per week from Student Loans,
Plus £ for books, travel, etc.


So best checking with your university advisor and the local council.

SozeTHC

University Students cannot get HB unless its for a certain reason. But your students loans are counted in, here is what is not counted.

"The benefit rules allow you £303 a year for travel costs and £390 a year for books and equipment.
The remaining £5,047 is divided over 42 or 43 weeks, depending on the total number of term weeks.
A further £10 a week is disregarded.
The rest counts as income.
So if your term weeks add up to 42, your weekly loan will be £120.17.
After £10 has been disregarded the remaining £110.17 will be treated as income"
http://www.disabilityrightsuk.org/how-we-can-help/individuals/education/frequently-asked-questions-students