ESa and Impact on Ill-Health Retirement Pension

mbeamethyst

I ORIGINALLY POSTED THIS ON THE BENEFITS BOARD, BUT AS ONE OF MY CONCERNS US AROUND WHETHER CLAIMING ESA COULD IMPACT MY PENSION, THOUGHT I'D POST HERE TOO

I retired early recently due to ill-health. I was advised to register for ESA not for payments as I believe the value of the pension I'll receive will make me ineligible for ESA £. The main reason for applying is to check eligibilty related to covering gaps in NI contributions that will affect my SP (missing 8 years).

I tried to speak to JCP to explain this - they referred me to HMRC who referred me straight back to JCP, but they said to just start a new ESA claim and the NI side would be dealt with as part of the claim.

So I started my claim this morning but I'm really confused by it all and wondering if I should continue with it or not, or just abandon ESA and pay for the missing NI. I'm not able to work because of the terms of my retirement (assessed as unfit for employment in any role up to SP age) but by applying for ESA am I declaring myself fit to work but unable to get a job? If I am, does this cause issues with the term of my retirement/pension? The claim is for contribution-based ESA (not eligible for income-based due to OH) and I think my disability will put me in the support group (permanently use wheelchair, unable to walk any distance) rather than the work related activity group, but I think I still have to be assessed for fitness to work through the ESA claim even though my employers retired me owing to unfitness??

Also, they've said that while my claim is being assessed, I will need a sick note from my GP. But I'm not off sick, I'm retired!

Anyone who has had experience of this themselves and you can let me know what you did or anyone who's experiended with ESA/impact on or of pension who can offer me any advice or assistance, I'd be really grateful, as the last thing I want to do is mess up my pension arrangement.

Thanks!

BIT MORE INFO FROM QUESTIONS ON THE BENEFITS BOARD:

PENSION SCHEME ADVISORS HAVE CONFIRMED THAT PENSION IS BASED ON INABILITY TO WORK IN ANY CAPACITY NOT JUST WITH PREVIOUS EMPLOYER.
ESA CLAIM IS CONTRIBUTORY NOT INCOME AND LIKELY TO BE SUPPORT GROUP AS TWO OF THE SUPPORT DESCRIPTORS APPLY.
I HAVE SP FORECAST - 8 YEARS NI CONTRIBUTIONS REQUIRED PRIOR TO SP AGE (BY 2034).

xylophone

https://www.gov.uk/national-insurance-credits/eligibility

mbeamethyst

xylophone wrote: »

https://www.gov.uk/national-insurance-credits/eligibility

Thanks I'd checked this previously and as I thought the following applied:
You’re not on Employment and Support Allowance but you satisfy the conditions for itContact your local Jobcentre to claim Class 1 credits


You may get Employment and Support Allowance (ESA) if your illness or disability affects your ability to work and you’re:

• under State Pension age
• not getting Statutory Sick Pay or Statutory Maternity Pay and you haven’t gone back to work
• not getting Jobseeker’s Allowance

I phoned the job centre this morning to apply for Class 1 credits - they didn't know what I was talking about and told me to phone HMRC. HMRC told me they couldn't help, phone the job centre!

xylophone

https://www.citizensadvice.org.uk/benefits/benefits-introduction/national-insurance-contributions-and-benefits/

For some types of credits, you have to apply in writing.

Try CAB for assistance?

mbeamethyst

xylophone wrote: »

https://www.citizensadvice.org.uk/benefits/benefits-introduction/national-insurance-contributions-and-benefits/

For some types of credits, you have to apply in writing.

Try CAB for assistance?

Thanks, this has a number for the National Insurance Helpline, so I'll give them a call tomorrow as well as CAB. I think this is the way to go rather than claiming ESA, as I know I won't get ESA payments because of my pension, if the claim's approved, so it seems pointless to go through that whole process, when it's just NI I'm concerned about.


Appreciate the advice as always.

meantime

mbeamethyst wrote: »

Thanks, this has a number for the National Insurance Helpline, so I'll give them a call tomorrow as well as CAB. I think this is the way to go rather than claiming ESA, as I know I won't get ESA payments because of my pension, if the claim's approved, so it seems pointless to go through that whole process, when it's just NI I'm concerned about.


Appreciate the advice as always.

ESA is reduced by half the amount by which your occupational pension exceeds £85pw, so if my arithmetic is correct someone in ESA Support Group could earn up to £(109.30 x 2 + 85) = £303.60pw and still receive some ESA.

I believe that to qualify for NI credits you need to be assessed for ESA even if it's cancelled out by your pension, but please don't take my word for it.

mbeamethyst

meantime wrote: »

ESA is reduced by half the amount by which your occupational pension exceeds £85pw, so if my arithmetic is correct someone in ESA Support Group could earn up to £(109.30 x 2 + 85) = £303.60pw and still receive some ESA.

I believe that to qualify for NI credits you need to be assessed for ESA even if it's cancelled out by your pension, but please don't take my word for it.

Ymeantime, good to see my calculations are the same as yours; my occupational pension is above the weekly limit where ESA would be payable. As I'm not seeking an ESA payment I think I am going to withdraw/abandon the claim and, decide nearer the time wther to purchase som/all of the missing years.

Thanks for replying.

meantime

mbeamethyst wrote: »

As I'm not seeking an ESA payment I think I am going to withdraw/abandon the claim and, decide nearer the time wther to purchase som/all of the missing years.

I'd encourage you to reconsider. I've had 3 Incapacity Benefit assessments and one ESA assessment and have never found the process unduly stressful (I can't say the same about the appeal process on the one occasion I "failed" the assessment). And with less at stake as you're only after the NI credits, I imagine it would be even less stressful.

mbeamethyst

Can anyone advise whether it is better to contact JCP to withdraw my ESA claim ir if it's Ok to just not send them a fut note or complete the fitness for work form.

I've had a letter telling me they will pay £73.10 a week.contribution based for 365 days but that I may need to have a work capability assessment. I assume that this is while they assess if support or work group applies so if I don't fill in the form or send a fit note then they won't pay any money?

Seen differing opinions re impact on other benefits (I get DLA HRM MRC) - some saying notifying withdrawal of the claim causes problems some saying doing nothing (ie no fit note no form filling) causes problems. So keen to get feedback. Thanks.

mbeamethyst

Please ignore above - I meant to post it on the Disability forum. Thanks.