On UC but thinking of working.

biggsy147

Hi, quick question. I am disabled and suffer from sever depression which together stops me from having the possibility of having (and keeping) any office job I would like to have. I have been thinking of maybe trying to start working from home through buying and selling sites but wondered about 2 things which I can't seem to see an answer for online.

1. Is there a period where I can try this out without it effecting any UC payments?
2. Is there a minimum amount I am able to earn (profit wise) without it effecting my current payments?

I don't want to rely on benefits and would love to be self employed in the future but obviously at the moment, rent and bills come first.

Any help would be great.

Thanks

calcotti

Could you say a little more about your UC award? Does it include LCWRA element?

For self employed people after 12 months you are treated as earning a certain level of income even if you haven’t actually earned that much. However that only applies to people who are expected to be earning their living from self employment (gainful self employment). If you have LCWRA in your UC you have no work related requirements and are not expected to be earning your living anyway.

If you are simply making a bit of money from an interest this is not self employment and you would simply need to tell DWP that you have had some income. Some of this may be ignored (£198 will be ignored if you have LCWRA) and for the rest there will be a reduction in UC of 63p for every £1 earned.

biggsy147

Hi, thanks for the reply, I think it does include the LCWRA element as I have no work related requirements at all when I log into my UC account.

So say for instance I did start to sell things online (I currently don't but this is what I would like to do one day) and made for example £200 profit in 1 month, would that effect the payments I currently receive even though it is a relatively small amount?

Thanks

Alice_Holt

Do you receive PIP, and at what rates?

biggsy147

Yes I do it's the higher rate on mobility

calcotti

biggsy147 wrote: »

Hi, thanks for the reply, I think it does include the LCWRA element as I have no work related requirements at all when I log into my UC account.

So say for instance I did start to sell things online (I currently don't but this is what I would like to do one day) and made for example £200 profit in 1 month, would that effect the payments I currently receive even though it is a relatively small amount?

Thanks

Does your UC include help with rent? I assumed it does as you referred to rent in your initial post.
If it does the first £198 of any earnings will be ignored. Anything over this will be deducted at a rate of 63p in the £1. As explained in my previous post.


If your UC does not include help with rent the first £409 of any earnings will be ignored.

biggsy147

Yes it does include help with rent, thanks for the reply Does that mean £198 per week or per month?

Thanks

calcotti

biggsy147 wrote: »

Yes it does include help with rent, thanks for the reply Does that mean £198 per week or per month?

Thanks

Per month. Apologies for not being clear.

Alice_Holt

biggsy147 wrote: »

Yes I do it's the higher rate on mobility

That's good.
With an award of PIP the UC LCWRA element can still be paid even when working more than 16 hours a week.

"If you earn more than the equivalent of 16 hours a week, paid at the National Minimum Wage rate, you will not be able to get either of the capability for work elements unless you are also getting Disability Living Allowance or Personal Independence Payment."

https://www.turn2us.org.uk/Benefit-guides/Universal-Credit/Additional-Elements-of-Universal-Credit

calcotti

Alice_Holt wrote: »

That's good.
With an award of PIP the UC LCWRA element can still be paid even when working more than 16 hours a week.

"If you earn more than the equivalent of 16 hours a week, paid at the National Minimum Wage rate, you will not be able to get either of the capability for work elements unless you are also getting Disability Living Allowance or Personal Independence Payment."

https://www.turn2us.org.uk/Benefit-guides/Universal-Credit/Additional-Elements-of-Universal-Credit

I don’t think the turn2us bit you quote is very clear. It suggests that if you work more than 16 x NMW you cannot receive LCW or LCWRA elements unless you have DLA or PIP. I don’t think that is correct. I believe that if you have already been found to have LCW or LCWRA you can continue to receive the applicable elements regardless of any work. What the rules do prevent is you being referred for a WCA to establish LCW or LCWRA in the first place if you are earning more than 16 x NMW unless you have DLA or PIP.

LawrenceMPA

Basically as far as I’m aware.

If you receive rent

Earnings from work - 198

Times by 0.63

Minus this off your original monthly UC award

Same equation for it if you don’t receive rent except change the 197 to 409