Permitted work ESA

Seren1105

Hi I'm hoping someone can help.

I'm a single mom of 3 children.  I'm currently on ESA Contribution Based and in the support group due to my health. I also claim universal credits.

I would like to do some work but I know I physically and couldn't cope mentally working a normal job so I've been looking into permitted work whilst on ESA but can't seem to find much information that helps of answers my questions.

I know I would have to work under 16 hours a week and earn less than £140 and I would come out of the support group. 

My questions are can I be self employed and do permitted work?

If I can be self employed and do permitted work would I just write down my expenses each month and what ever I earn as you would if you where self employed?

Would I be able to claim for  childcare for my 2 youngest children whilst I was doing the permitted work..

What happens if I'm struggling to do permitted work and gave to give up cause of my health would this go against me?

I would love to be able to get back to some sort or normality as  I was in a great job for 18 years until my health diterated.

Any other help would be appreciated.

Thank you 

calcotti

Less than 16 hours and up to £143/week
https://www.gov.uk/government/publications/employment-and-support-allowance-permitted-work-form/permitted-work-factsheet

Unfortunately i am not clear how DWP will assess your self employed earnings (much clearer on UC).

For childcare - see if this helps
https://www.gov.uk/childcare-calculator
https://www.childcarechoices.gov.uk

TELLIT01

"I know I would have to work under 16 hours a week and earn less than £140 and I would come out of the support group. "

Can somebody confirm whether or not that is true?  It certainly wasn't the case under the old version of ESA.

calcotti

TELLIT01 said:

"I know I would have to work under 16 hours a week and earn less than £140 and I would come out of the support group. "

Can somebody confirm whether or not that is true?  It certainly wasn't the case under the old version of ESA.

The bit about coming out of the Support Group is wrong, as is the amount - which is why i linked to the guidance. (I should have flagged the bit about Support Group in my earlier reply.)

Nannytone

Would the amount of UC that the OP receives be affected?
As there is no permitted work disregard, but a work allowance instead.

The ESA permitted work amount is much higher than the UC work allowance.

calcotti

Nannytone said:

Would the amount of UC that the OP receives be affected?
As there is no permitted work disregard, but a work allowance instead.

The ESA permitted work amount is much higher than the UC work allowance.

Good point which i completed overlooked. The earnings will be taken into account in UC and a 63% deduction made subject to the amount disregarded due to the Work Allowance.

Of course as the ESA is deducted in full from the UC OP could simply ignore the permitted work limits, work longer if they wish and surrender the ESA claim. It will make no difference to overall income.

Seren1105

Thank you for your help.

Am I incorrect in the amount I can earn after tax of 143??  I understand I won't get my extra esa payment in the support group I currently try get but would get the standard 75 a week then any earnings on top.

My esa gets deducted from my universal credits as I'm on contribution based which is classed ar income.

Can I do any self employed work though or do they set guidelines out on what you can and can't do?  It's all so confusing.  

I just want to try and work and see if I can cope with my health and working 

poppy12345

Seren1105 said:

Thank you for your help.

Am I incorrect in the amount I can earn after tax of 143??  I understand I won't get my extra esa payment in the support group I currently try get but would get the standard 75 a week then any earnings on top.

Yes, that's correct BUT because you're claiming UC as well then the rules are different for this.

As previously advised, with UC there's no permitted work as such, instead there's a work allowance. This means that you can earn a certain amount of money each assessment period before the 63% deductions apply. The UC work allowance isn't as generous as ESA permitted work. For UC if you claim for help with the rent then your work allowance is £293 per month, if you don't claim for help with the rent then it's £512 per month.

Being self employed with UC means you need to report your earnings and expenses onto your journal each month.

Seren1105

Ahh thats great thank you so much.  Its such a minefield as I've never been on universal credits until I moved house and out the area.

Thanks again 

calcotti

Seren1105 said:

Am I incorrect in the amount I can earn after tax of 143??  I understand I won't get my extra esa payment in the support group I currently try get but would get the standard 75 a week then any earnings on top.

For ESA the limit is £143, not £140 as you originally posted.
Doing permitted work does not affect being in the Support Group.

In your case it is the UC rules that will determine your overall income because the ESA is deducted from the UC.