What can money/savings be spent on for ESA purposes?

TELLIT01

Ames wrote: »

It basically comes down to what's reasonable. Case in point this thread - Tellit doesn't think a 50" smart TV would be reasonable. I was looking at buying one last week and I don't think £420 on a new TV is unreasonable (assuming your old one is a few years old).

I'm clearly out of date with TV prices. Last time I noticed the price of a telly that size and it was way north of a thousand quid. I don't think a spend of £400 on a telly would raise any eyebrows.

Ames

gray1404 wrote: »

And I think that's the worrying thing. It is down to the decision maker so you really just don't know.

Being totally realistic though. I had a look round his flat today and the following is 100% true (i.e. without any lies and I would swar on a bible). The carpet is old and worn out, his mattress and bed is about 10 years old and could do with being replaced. He does not have a cooker, just a second hand microwave and a second hand fridge and washing machine (family pass downs basically). Could also do with things like some more plates and cups etc...

That all sounds perfectly reasonable to replace,
especially the mattress and carpet because if they're really old they could be hazardous (tripping over worn carpet, springs sticking out of a mattress or just being saggy and bad for the back). A cooker wouldn't be unreasonable, and neither would updating fridge and washing machine to something more efficient
and effective.

All of his clothes are either really cheap or from various charity shops. That is to be honest (and I hope he doesn't read this ever) the area he needs to smarten up in. So, if it is reasonable, if we could go out and get him some nice new "mid range" clothes it would be great. But I would only want to do this with him if it would not come back to bite us by a difficult decision maker. I doubt it will come back to bite you. One thing I will say though (nothing to do with benefits) is to make sure he actually wants new clothes. If he's happy with charity shop stuff then it's up to him. If he's set in his ways then a lot of change all at once could be quite distressing for him.

I decided to take some pictures today of the flat as proof of the condition its in. I think I am just treading very carefully here because want to do everything according to the rules.

That's fine and understandable, but it doesn't sound like you're planning anything that will cause problems with the DWP.

TELLIT01

Nothing in the items you list would be likely to cause a problem. For example as threadbare carpet can actually be a health / trip hazard so should be replaced. Bed manufacturers recommend changing mattresses every 8 years. A cooker would certainly be deemed an essential.
Clothes from standard high street stores again no problem. Armani or similar ....???

gray1404

Thank you so much to all of your for your advise. You have been so kind and sincere about it too! Thank you!

epitome

By the way, strictly speaking it has nothing at all to do with what you spend it on, but why you spent it.

If you spend it in order to continue receive the same or more benefit then it is DOC

So if the decision maker saw this thread, they would have no option (in my opinion) but to mark it down as deprivation of capital. Because it is clearly your intention to spend the money so as to receive the same amount of benefit.

baza52

If you were £20k over the £6k threshold for dedections to start you could still spend that £20k without deliberately depriving yourself.
If you need a car, have not had a holiday for a while and would benefit from a break and all your clothes, furniture and white goods needed replacing or purchising (like buying a tumble dryer if you dont already have one) and even if you replaced all your flooring and completely redecorated your home that would be ok.

You could in theory spend that £20k in a month.
If you are buying or replacing things you NEED how could they ever see it as deprivation.

I went from being over 20k over the 12k cut off point to under the 12k limit in just a few months and not a single spend was asked for.
All they asked for was a bank statement to prove my savings and my income related benefits restarted.

OP, dont also forget that any benefit income can be drawn out as cash as soon as it hits the account and spent on anything you wish. You can gamble it away, spend it all on lollypops, bottles of vodka or give it to family, friends or charity. You can ONLY deprive your self of capital and NOT Income.

Its entirely possible to gift your income and use savings to live off by paying bills, buying food etc with it.

gray1404

Is this correct about being able to draw any benefit income as soon as it hits the account and spend it on anything? And also use savings to pay off bills and food etc....

I think to put it another way, he has come into this 5k and in reality there are some much needed items he needs. Things that could do with being replaced years ago but maybe now is a good chance. There is no intention here to do anything wrong.

baza52

as long as you spend the benefit before the next one is due then it is perfectly ok to do.
For example, a benefit paid weekly on a monday must be spent before the following monday, for a fortnightly benefit it has to be spent before it is paid again.
The income only becomes capital if it is in your account when the next payment is due.

When i had excess capital i would draw any income out as cash as soon as it hit my account and then use my capital to pay for everything.

gray1404

Thanks - this is very interesting.

TELLIT01

I would strongly suggest ignoring Baza52's very bad advice. Spending money quickly after you receive it does not mean it can't be considered deprivation of capital. I would go so far as to say that anybody discovered to be doing what Baza52 suggests, drawing large amounts of cash in order to hide it and continue to claim benefit, is likely to be charged with benefit fraud.