JSA / Insufficient NI Contributions

DapperRob

Hi all,

First post, long-time lurker. Hoping someone with a working knowledge of NI & JSA can help me here please.

Background: Have been gainfully employed FT since Jan-10 - Sep-16 and then Oct-16 - Jun-17, when I had my contract unexpectedly terminated. Have been job hunting since then, but as finances became tight only this month registered with Job Centre for JSA.

Received a letter today stating I've not paid enough Class 1 National Insurance Contributions, based upon their assesment of FY15-16. Checked on HMRC and contributions for this year were £3,359.26. So my question is that surely this is enough, and is there anything obvious that I have missed out?

TIA
Rob

pmlindyloo

Entitledto

If you are unemployed and have paid sufficient class 1 National Insurance contributions you may qualify for contribution-based Jobseeker’s Allowance (JSA).

You qualify for contributory JSA if you have made the following level of National Insurance Contributions:
in one of the last two complete tax years, have paid Class 1 (or special Class 2) contributions to the value of 26 times the lower earnings limit; and
in both of the last two complete tax years, have paid or been credited with, Class 1 (or special class 2) contributions to the value of 50 times the lower earnings limit.
The 2 tax years that are relevant are the ones that were completed before the benefit year in which your jobseeking period began. The tax year runs 6 April - 5th April. The benefit year runs from the first Sunday in January.

The lower earnings limit for the 2014/2015 tax year was £111 per week, for 2015/2016 it was £112 per week.

Alice_Holt

Bit on CB - JSA NI contributions requirement here:
https://www.entitledto.co.uk/help/jobseekers-allowance

You would be looking at 2014/15 & 2015/16 Tax Years.

£3k of NI contributions paid should qualify you for 15/16. This would imply earnings of well over 50 times the LEL of £112pw (i.e earnings of over £5600 pa).

If the letter you have had is a decision letter refusing you JSA because of insufficient NI contr then I'd ask for a mandatory reconsideration of the decision not to pay CB JSA. Enclose a copy of the NI record and copies of your P60's for the 2 relevant tax years.

https://www.citizensadvice.org.uk/benefits/benefits-introduction/problems-with-benefits-and-tax-credits/challenging-a-benefit-decision/challenging-a-dwp-benefit-decision-on-or-after-28-october-2013/challenging-a-benefit-or-tax-credit-decision-asking-for-a-reconsideration/

Good luck.

epitome

What amounts do your P60s show in the first four columns

For tax year ending 15 and tax year ending 16?

Sounds to me you easily qualify

We don't need to be concerned with anything after 5th April 2016, not for this claim anyway...
If you find yourself still unemployed after 6 months of JSA C (which will be paid when you get this sorted out)
you can sign off for more than 12 weeks and then claim JSA Conts again.

Two rules 1st and 2nd

For the 1st rule you need 26 weeks of LEL or more in either tax year, individual weeks that total less than LEL mean that particular week does not count.

For the 2nd rule you need 50 times LEL for that year, individual weeks do not need to be above LEL, this rule takes your total income for the whole year.

The first 4 columns on your P60 are what counts.

No need for a Mandatory Reconsideration at this stage

You can either phone them ask for a call back...speak to them and ask if they will check HMRC again

or

You can send them copies of your P60 for each year. (have them scanned by the jobcentre)

either way, when they get the evidence your claim will be allowed for payment...

DapperRob

Thanks for your help folks - turned out to be a simple conclusion in the end... Gave them a ring, and stated "oh yes I can see you've paid enough... Looks like we sent you a second letter yesterday saying you are owed the full entitlement."

Cheers all!

epm-84

epitome wrote: »

Two rules 1st and 2nd

For the 1st rule you need 26 weeks of LEL or more in either tax year, individual weeks that total less than LEL mean that particular week does not count.

For the 2nd rule you need 50 times LEL for that year, individual weeks do not need to be above LEL, this rule takes your total income for the whole year.

Out of interest does that mean you need to have:
* Had at least 26 weeks in employment in either tax year where you earned above the LEL (£111 in the first or £112 in the second)
* Earned at least a total of 50 times the LEL in both tax years, so £5550 in the first and £5600 in the second?

Or is it not that straight forward?

epitome

epm-84 wrote: »

Out of interest does that mean you need to have:
* Had at least 26 weeks in employment in either tax year where you earned above the LEL (£111 in the first or £112 in the second)
* Earned at least a total of 50 times the LEL in both tax years, so £5550 in the first and £5600 in the second?

Yes, correct.

Except with one addition ,
For 2nd rule, earnings above UEL are disregarded.
Which was implied in my previous post....because earnings above UEL appear in the fith column on P60