Universal credit and private pension contributions

the_pink_panther_2

RobinHill said:

My partner had no end of problems with this. Due to the pension contributions calculations being delayed sometimes for six months or so this caused council tax and prescription charges that could not be subsequently rectified. Fortunately she is no longer on UC.

How long ago was this? I understood that they had sorted private pension contributions since time ago.

RobinHill

the_pink_pather_2: A couple of years ago now. It was a battle and a load of hassle at the time.

michaels

Don't seem to be able to quote messages for some reason.

I am about to embark on this process as am migrating from tax Credits.

With my personal pension contributions the tax relief gets added to my pension 6 to 8 weeks later than the contribution is made.  I think it is the gross (contribution plus relief) amount that should be deducted from income but how to evidence this to UC when it is made up of two entries in my pension statement generally two months apart?!

justwhat

michaels said:

Don't seem to be able to quote messages for some reason.

I am about to embark on this process as am migrating from tax Credits.

With my personal pension contributions the tax relief gets added to my pension 6 to 8 weeks later than the contribution is made.  I think it is the gross (contribution plus relief) amount that should be deducted from income but how to evidence this to UC when it is made up of two entries in my pension statement generally two months apart?!

just quote initial contribution, UC works on cash in cash out. 

spaniel101

michaels said:

Don't seem to be able to quote messages for some reason.

I am about to embark on this process as am migrating from tax Credits.

With my personal pension contributions the tax relief gets added to my pension 6 to 8 weeks later than the contribution is made.  I think it is the gross (contribution plus relief) amount that should be deducted from income but how to evidence this to UC when it is made up of two entries in my pension statement generally two months apart?!

UC will only deduct the Net value of private pension contributions from income (where as Tax Credits was Gross value).   

In essence, my remaining income to be taken into account as earnings, reaches well under the 'work allowance' anyway, so the fact that they only take into account Net and not Gross, doesn't make any monetary difference to what is reimbursed (i.e. make net pension contributions down to, at least, your work allowance if not more).

As discussed above, its a manual process so report on journal your pension contributions on the day they are made.  You will then need to request a 'to-do' to upload pension contribution statement each month (your initial statement will automatically be produced without pension contributions taken into account).   Once uploaded pension contribution statement, request MR with decision maker and chase it every couple of days.   

They will approve (mine is usually done within 1-2 weeks) and manually reproduce your statement every month.
 

Dazed_and_C0nfused

If you are contributing to a provider who pre funds the tax relief on a RAS contribution would the whole contribution be factored in for UC?

There are fewer providers doing this but some still pre fund.

spaniel101

A helpful thread explanation of the Net v Gross

https://forums.moneysavingexpert.com/discussion/6474183/migration-question/p2

michaels

I have journal contacted UC now 5 times about my personal pension contributions but have no response.  Can anyone advise how I should try to contact them to get a response?  Is there a complaints route?  Thanks

NedS

michaels said:

I have journal contacted UC now 5 times about my personal pension contributions but have no response.  Can anyone advise how I should try to contact them to get a response?  Is there a complaints route?  Thanks

@michaels I've replied here:

https://forums.moneysavingexpert.com/discussion/comment/80831939#Comment_80831939

As this is a somewhat poorly understood topic, I would consider 1-2 weeks max would be reasonable to give you a response.

Have you received your first UC statement yet? If so, have a look at the part towards the bottom that expands out and says If you think we've made a mistake or want to appeal.

By paying you (even if it's £0), they have made a decision about your entitlement, so you can request a Mandatory Reconsideration (MR) and get the ball rolling to resolve. This will then go to a qualified Decision Maker, who should immediately identify and resolve the issue - it's not like this is new to them any more.

Please tag me on any replay if you want me to look/respond as I'm not otherwise getting to check posts regularly atm.

spaniel101

https://makeacomplaint.dwp.gov.uk/