Child’s PIP pushing me over threshold

Mehappy75

We have 3 disabled children, and their benefits PIP X3, and UC x1 are paid into our account. Now, due to better money management and saving for a caravan to take the boys on trips and holidays, we’ve been pushed a good way over the benefits saving allowance. And now we’ve received a letter from the local authority asking us (amongst others things) to declare our savings. How do we stand?

We would normally have taken breaks and purchased the caravan by now, but due to the virus that hasn’t happened. We also had a holiday cancelled and refunded.

[Deleted User]

I'm afraid you stand to lose some benefits depending on the amount of money involved, under £6000 savings no problem, between £6k and £16k you would lose £4.35 for every £250, not knowing how much is involved makes it difficult to advise but you should have notified UC and Council once savings went above £6k, not doing so would be seen as fraud in the sense that not declaring savings is not a good idea.
However what you wont lose are the childrens PIP (are you sure its not DLA if under 16?).

Mehappy75

They aren’t under 16, They’re 21 plus. Will they not consider the virus at least? Without that we were due to open an account for one of the boys (but we’d still be named on the account as he’s unable to deal with his financial affairs).

Also, £1500 was returned from the travel agent due to COVID, and we’d be approx £5,000 lighter as we’d have purchased the caravan had there been no lockdown.

poppy12345

Mehappy75 said:

They aren’t under 16, They’re 21 plus. Will they not consider the virus at least? 

If you mean your savings are more than £16,000 then you will not be entitled to any means tested benefits. This will include UC and council tax reduction. No, they won't take into consideration Covid19, savings are savings and you should have reported the changed once you reached £6,000.

You will now have an overpayment which will need to be repaid back. You could also have a fine on top for not reporting the changes.

Mehappy75

What a mad world we live in, when we try and look after the boys money, whilst some others are down the pub spending their kids benefits. 

poppy12345

How old are your children?

Mehappy75

They’re all over 21

Mehappy75

My wife is their appointee, but she suffered life changing injuries since that was done, so I’ve been trying to deal with everything, and not too well it seems.

Galloglass

Why is PIP money paid three adult children considered as the parents' monies. Are these not 4 pots of money held in one account?

[Deleted User]

Galloglass said:

Why is PIP money paid three adult children considered as the parents' monies. Are these not 4 pots of money held in one account?

 Because she holds the sons money in her account rather than individual accounts for the sons. Which is what she should have done given their age with power of attorney if they are incapable of managing bank accounts. 

poppy12345

I don't understand why they don't have their own bank acount. I understand they have disabilities and your wife is their appointee but they should still have their own bank account for the money to be transferred to. I know getting to the bank has been difficult due to Covid19 but what about the time before the lockdown was put into place.

My daughter claims PIP and i'm her appointee, her money is paid to me but then i transfer it to her so it doesn't remain in my bank account and count towards my savings.

I don't know how they will know who's money is who's if it's all in 1 bank account.