UC: worth applying?

SarahDoe

Hi,

Does anyone know, which calculator is more accurate: entitledto or turn2us?
According to entitledto, I only qualify for CB, which I am already getting, but turn2us says I may be able to get £183 a month UC.

I have never claimed any benefits apart from CB. Short summary: single mother, child is 7. I have good income (37K). Child is in after-school club every day, since I am working (this is around 3k a year). I am receiving childcare vouchers, which cover the after-school costs, including holiday clubs. No maintenance from ex at the moment. Renting privately. Living in South, therefore, rent is eye-watering.

Probably I do not qualify for UC, which is ultimately fine, as I understand that I am far better position than many people around.

Is it worth trying or no chance?

pmlindyloo

SarahDoe wrote: »

Hi,

Does anyone know, which calculator is more accurate: entitledto or turn2us?
According to entitledto, I only qualify for CB, which I am already getting, but turn2us says I may be able to get £183 a month UC.

I have never claimed any benefits apart from CB. Short summary: single mother, child is 7. I have good income (37K). Child is in after-school club every day, since I am working (this is around 3k a year). I am receiving childcare vouchers, which cover the after-school costs, including holiday clubs. No maintenance from ex at the moment. Renting privately. Living in South, therefore, rent is eye-watering.

Probably I do not qualify for UC, which is ultimately fine, as I understand that I am far better position than many people around.

Is it worth trying or no chance?

Usually both are accurate if you input the correct figures.

I usually use entitledto as it gives a breakdown of how they get the figures.

It might depend on how much your local housing allowance is for a 2 bed place. You can look this up on your council website.

Is £37K your gross salary?

Do you have savings over £6000?

Do you or your child have any disabilities?

Someone could do a calculation if we know your local housing allowance for a 2 bed and you answer the questions above.

SarahDoe

Thank you for reply.

No disabilities, thanks God.

Yes, it is gross salary, £37495 to be precise.
I have checked local 2-bed allowance, it is 166 per week.
Since I am renting privately, we live in 1 bed flat with my daughter. She has bedroom, I have sofa-bed in living room. Paying 750 for that.
2-bedroom property is 900+ where we live.

As I have said before, I get childcare vouchers (£243), after pension and student loan deductions (Plan 1) I get into my bank account £2079 monthly.

We are comfortable, but "why not", if we qualify. I can start saving up for mortgage deposit.

lisyloo

No reason at all why you shouldn’t claim what you are entitled to.

Just curious though, have you thought of moving somewhere that renting/housing is cheaper? Or is there a family/job reason that wouldn’t be possible?
If you have transferable skills then you might be able to have a much higher standard of living in a different part of the country.

calcotti

SarahDoe wrote: »

Yes, it is gross salary, £37495 to be precise.
As I have said before, I get childcare vouchers (£243), after pension and student loan deductions (Plan 1) I get into my bank account £2079 monthly.

When calculating UC entitlement you need to use your net monthly salary plus your student loan deductions as the income figure. Pension contributions, along with income tax and NI, are an allowable deduction but student loan deductions are not.

SarahDoe

Everything is possible :-) but It is a bit tricky at the moment.

I have a good job, which I enjoy. Also, recently discharged bankrupt (after gambling debts from my now-ex), therefore getting rented place will be struggle.

I have check Gross again, it is 37443.

If I do "money in bank" + Student loan, then my Net is 2079 + 108 = 2187.
This is after childcare vouchers deducted.

calcotti

I don't know if the childcare vouchers have to be added back as well.

If the value of the vouchers is added back the UC calculation then looks like this:

Single person allowance £317.82 (assuming you are aged 25 or over)
Child element £277.08
Housing element £719.33 (£166 x 52/12)
Childcare element £212.50 (childcare costs of £250/month x 85%)

maximum UC entitlement = £1,526.73

Earnings say £2,430
Work Allowance £287
Earnings taken into account £2143.09
Earnings deduction £1,350.09
UC payable = £176.64/month

I have assumed your childcare costs are spreadably evenly across the 12 months of the year. If they fluctuate the UC will fluctuate. If there are no childcare costs there would be no UC entitlement.

However I’m really not clear how the vouchers are treated - it appears complicated https://www.litrg.org.uk/tax-guides/childcare/universal-credit/how-does-it-interact-other-schemes
https://www.litrg.org.uk/tax-guides/childcare/universal-credit/how-does-it-interact-other-schemes#toc-universal-credit-and-childcare-vouchers

SarahDoe

It does go tricky with vouchers. I have worked out, that 243 in vouchers cost me around 150 in salary, since they are deducted before tax is applied.

So it would be: 2187 + 150 (or so) = 2337.

Urrrgh. So tricky :-) I think I just need to ask for pay rise. So that there are no doubts, do not qualify. End of story :-)

pmlindyloo

Why not just apply? Nothing to lose...….and maybe a small gain.

Any chance of child support from the father of your child?

SarahDoe

Well, as I have said, he had some issues with the money and work in the past. So current entitlement is around 20 pounds a month. Which will be more hassle, than benefit to me.
But I will definitely look into this in due course.

I have started the form in the past, but once it gone into providing "evidence for this, evidence for that" I gave up. If I was reasonably sure, that I qualify, I would go through the process. But I do not want to be scrutinized and questioned about my bank statement (do they need those btw?), if there is tiny or no outcome.