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Getting back into self employment

I lost all income due to covid and have been claiming UC, thing are now starting to pick up and I am getting more work, self employed, I am declaring income but have seen on here that some people are still getting full UC despite earning £500 plus each month.How do you know when they will deduct your income ?

Comments

  • calcotti
    calcotti Posts: 15,696 Forumite
    Part of the Furniture 10,000 Posts Name Dropper
    edited 17 October 2021 at 8:17PM
    It entirely depends on your circumstances and how your claim is made up.
    In general there is a deduction of 63% of any earnings.
    However if you have children included on the claim or somebody with LCWRA there will be a Work Allowance which is an amount of earnings that is disregarded before the deduction is calculated.
    If your claim includes the housing element the Work Allowance is £293/month.
    If the claim does not include the housing element the Work Allowance is £515/month.
    If it is a couple claim the Work Allowance applies only once to the joint earnings

    See https://www.understandinguniversalcredit.gov.uk/new-to-universal-credit/universal-credit-and-work/
    Information I post is for England unless otherwise stated. Some rules may be different in other parts of UK.
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