Guide discussion: Universal credit

Jimbo37

"Something is wrong here I would not have the brass neck to go cap in hand looking for a top up of my income AND have savings that I could have used instead."

This comment seems to suggest that those who have the ability and diligence to save should automatically assume they are entitled to less for their taxes. Grr!

strawberryberry

Hi a bit of advice please. I am currently getting UC £317.82 a month ( no other benefits). Less any odd days I work. My monthly claim finishes on the 2nd each month so its a new month from today. At the moment I am not well enough for work laryngitis and tonsilitis Dr put me on antibiotics. I am due for an operation any time now so want to get well for that. Am I best keeping quiet about all this and just getting my UC for December then re looking for work January. Or would I be better off on sick pay - I've heard UC can take weeks to get a payment so I'm worried if I come off I may not get money for ages and it may be a hassle to get back on.
Thanks for any help

Free_time

Just sharing my experience. Became unemployed on 6th January and claim JSA. Was told I would be entitled to Universal Credit. My first payment is on 9th February. Because I received back holiday pay in January from my last job of £380, my UC to last the whole of February is £78.

amilase99

Hi ,will changing bank details with tax credits trigger a claim for Universal credit ?

calcotti

amilase99 wrote: »

Hi ,will changing bank details with tax credits trigger a claim for Universal credit ?

No............

Pialacyche

Will giving money to someone on UC reduce their future payments?

We've been helping support someone by buying them stuff because their UC payments are nowhere near enough to live on. It's getting really hard to make sure we meet up regularly so we want to just transfer small amounts of cash to their bank accounts regularly. We're worried that this would affect their future payments. I've read on a blog that it won't but can't find anything official that says that. Thanks.

sportsarb

If you’re providing them with regular income then there is a chance it will be treated as just that.

What is your relationship to this person and why do you feel obliged to help them?

calcotti

See here https://www.entitledto.co.uk/help/benefits-charity


Essentially if your payments are voluntary and you expect nothing in return they can be disregarded in full. There is something about this in the official Advice to Decision Makers but I can't find it at the moment (will update if I do).

calcotti

The detailed guidance I was thinking of may have been in the old Decision makers Guide. In Advice to Decision makers it is effectively covered by omission.

https://assets.publishing.service.gov.uk/government/uploads/system/uploads/attachment_data/file/754951/admh5.pdf
"H5002 A claimant’s unearned income means1 any of their income consisting of
[FONT=Arial,Arial][FONT=Arial,Arial]1. [/FONT][/FONT]retirement pension income
[FONT=Arial,Arial][FONT=Arial,Arial]2. [/FONT][/FONT]benefit income
[FONT=Arial,Arial][FONT=Arial,Arial]3. [/FONT][/FONT]foreign benefits
[FONT=Arial,Arial][FONT=Arial,Arial]4. [/FONT][/FONT]spousal maintenance
[FONT=Arial,Arial][FONT=Arial,Arial]5. [/FONT][/FONT]student income (see ADM Chapter H6 for guidance on student income)
[FONT=Arial,Arial][FONT=Arial,Arial]6. [/FONT][/FONT]employment and training payments paid
[FONT=Arial,Arial][FONT=Arial,Arial]6.1 [/FONT][/FONT]as a substitute for UC [FONT=Arial,Arial][FONT=Arial,Arial]or [/FONT][/FONT]
[FONT=Arial,Arial][FONT=Arial,Arial]6.2 [/FONT][/FONT]for a person’s living expenses
[FONT=Arial,Arial][FONT=Arial,Arial]7. [/FONT][/FONT]sports awards
[FONT=Arial,Arial][FONT=Arial,Arial]8. [/FONT][/FONT]certain insurance payments
[FONT=Arial,Arial][FONT=Arial,Arial]9. [/FONT][/FONT]income from an annuity
[FONT=Arial,Arial][FONT=Arial,Arial]10. [/FONT][/FONT]income from a trust
[FONT=Arial,Arial][FONT=Arial,Arial]11. [/FONT][/FONT]income deemed to yield from capital (sometimes also known as "tariff income")
[FONT=Arial,Arial][FONT=Arial,Arial]12. [/FONT][/FONT]capital treated as income
[FONT=Arial,Arial][FONT=Arial,Arial]13. [/FONT][/FONT]certain income which is taxable.
[FONT=Times New Roman,Times New Roman][FONT=Times New Roman,Times New Roman]1 UC Regs, reg 66(1)
[/FONT][/FONT]
If a type of income is not listed above, it does [FONT=Arial,Arial][FONT=Arial,Arial]not [/FONT][/FONT]affect the claimant’s award. "

sportsarb

Pay ments with specialrules
Charitable and voluntary pay ments What are charitable pay ments
A charitable pay mentis a pay ment made under a charitabletrust 1. A charitabletrust m u st
1. be wholly and exclusively charitable and
2. pro mote a public benefit(thatis,it must benefit a sufficient section ofthe public except wherethe purpose istherelief of poverty).
Pay mentsfro m charitabletrusts are made atthe discretion ofthetrustees.
1 R(IS) 4/94; R v. Doncaster Borough Council, Ex Parte Boulton
Charitabletrusts do not haveto be
1. r e gi st er e d or
2. ad ministered by aregistered charity.
The D M shouldtreat pay mentsfro mregistered charities as charitable pay ments.
Charitabletrusts usually providefor
1. therelief of poverty
2. advance ment of education
3. advance ment ofreligion
4. other purposes which benefitthe co m munity.
What are voluntary pay ments
A voluntary pay mentis a pay mentthat
1. has a benevolent purpose and
2. is given without anything being giveninreturn1.
Note: Voluntary pay ments should not be conf used with pay mentsto volunteers. Guidance on pay mentsto vol unteersis given at D M G 49210.
1 R(IS) 4/94

voluntary pay mentis si milarto a ch aritable pay ment butit will not usually be made fro m a charitabletrust. Voluntary pay ments are usually paidforthe benefit of an individual. But D Ms shouldrecognizethat charitable pay ments may also be madeto i n di vi d u al s
Vol 9 FirstIssue
1.
2.
The D
1.
2.
fortherelief of povertyor
because a wider purposeisinvolved.
M should consider
the backgroundtoand reasonsfor
the pay ment when decidingifitis voluntary.
E x a m pl e 1
Ji m clai ms E S A. He declaresthat he gets a pay ment of £20 a weekfro m his uncle,
Peter,to wardsthe cost ofrunning his car.
Peter makesthe pay ment because Ji m has beenreceiving ESAfor so meti me and needs a carto get around.
Peter makesthe pay ment because offa m ilyties and affectionfor Ji m. Peter does not expect orreceive anythinginreturn.
The D M decidesthatthe £20is a voluntary pay ment. E x a m pl e 2
Frances clai ms ESA. Shereceives a pay ment of £10.00 a weekfro m herfor mer e mployer.
The pay ment of £10.00is paidto allfor mer e mployees who workedforthe co mpany for over 20 years.
The pay ments were a warded bythe board of directorsfollo wing criticis m by shareholders ofthetreat ment offor mer e mployees withlong service.
The D M decidesthe pay mentis not voluntary. Thisis because
1. the directors ofthe co mpany arereceivinginreturnforthe pay ment greater satisfactionfro mthe shareholders
2. the co mpany'si mageisi mproved
3. the pay ments are not madeto help needy e mployees. Many ofthe people receiving pay ments are quite well off.

What did Frances do to entitledto to deserve a £5.50 reduction in their example?