Are Pensions and Disability Benefits Income?

g7ivp

I have a Student Loan (Plan 2) and want to know if my income qualifies for Student Loan Repayments. It is made up of Occupational Pensions, DLA and Carers Allowance (Which I get for looking after my wife). I have no income from work as I have no job nor do I have any unearned income form renting property, shares, interest on savings (don't have any savings).
Also, is it my income alone that has to exceed £25000 or does the household income come into it?

System

It is solely your income, not the household. Student Loan payments are only taken from income that is subject to Class 1 National Insurance Contributions at the point of payment. DLA does not count as income, neither does Carers Allowance.

In regards to the Occupational Pension, I refer from the Student Loan repayment website:

Student Loan deductions and Occupational Pensions
If you are in receipt of an occupational pension that is not subject to Class 1 National Insurance Contribution (NIC) deductions, your pension payer should not take any student loan deductions.

Student loan deductions should only be made from income that is subject to Class 1 National Insurance Contributions at the point of payment. If you are unsure what kind of pension you are being paid you should ask your pension payer for information. The pension payer will however still have to deduct income tax in the normal way.

The only time an occupational pension could attract student loan amounts would be if you are required to complete an annual Self-Assessment (SA) Tax Return for HM Revenue & Customs and the total of all your unearned income exceeds £2,000.

g7ivp

Thanks Tarambor,

Do you know if the debt is unpaid at death, can it be demanded from someone's Estate?