Fear I’m gonna get hit with a big housing benefit overpayment?

n1guy

I received a letter today from HB looking to know what my son is doing, he turned 18 January, he’s currently doing an apprenticeship.  I fear I should have told them when he was 18? Maybe I’ve been receiving too much? I know the likes of child benefits etc all stopped some time ago.  Not sure how to handle this. Certainly can’t afford an overpayment 

TELLIT01

If you should have informed the council of the change and not doing so resulted in overpayment, you will have to repay it.  The best you can hope is that the council will accept an extended period to repay it over.

poppy12345

There will be a non dependant deduction, unless either yourself or a partner receives either Daily living PIP or DLA care. If you do then you're exempt from the deductions.

https://england.shelter.org.uk/housing_advice/benefits/housing_benefit_deductions_when_living_with_non_dependants

n1guy

poppy12345 said:

There will be a non dependant deduction, unless either yourself or a partner receives either Daily living PIP or DLA care. If you do then you're exempt from the deductions.

https://england.shelter.org.uk/housing_advice/benefits/housing_benefit_deductions_when_living_with_non_dependants

I’m screwed then. Well I only receive £60 a fortnight as a rent top up so perhaps the over payment mightn’t be too bad?

poppy12345

It will depend on your son's earnings. Did you read the link i posted above? There's a table in there telling you what the deductions are.

Deductions from April 2022

The deduction is £16.45 a week if they're not working.

How much your relative or friend earns each week before tax	Weekly deduction from your housing benefit
Less than £154	£16.45
Between £154 and £223.99	£37.80
Between £224 and £291.99	£51.85
Between £292 and £388.99	£84.85
Between £389 and £483.99	£96.60
£484 or more	£106.05

Have you used a benefits calculator to check entitlement to Universal Credit? For housing element part of UC there's no non dependant deductions for under 21 year olds.

https://www.entitledto.co.uk/help/non-dependants

n1guy

poppy12345 said:

It will depend on your son's earnings. Did you read the link i posted above? There's a table in there telling you what the deductions are.

Deductions from April 2022

The deduction is £16.45 a week if they're not working.

How much your relative or friend earns each week before tax	Weekly deduction from your housing benefit
Less than £154	£16.45
Between £154 and £223.99	£37.80
Between £224 and £291.99	£51.85
Between £292 and £388.99	£84.85
Between £389 and £483.99	£96.60
£484 or more	£106.05

Have you used a benefits calculator to check entitlement to Universal Credit? For housing element part of UC there's no non dependant deductions for under 21 year olds.

https://www.entitledto.co.uk/help/non-dependants

I read it yes but I’m a bit confused. A £50 deduction? We don’t even get that per week in housing benefit, does that mean we shouldn’t have been receiving anything now and owe this all back from Jan? Essentially £1600+  We also don’t get universal credit we’re still on tax credits 

poppy12345

If his earnings are less than £154/week the deduction on your HB will be £16.45/week.

If his earnings are between £154 and £223.99/week then the deduction is £37.80/week. If the deduction is more than what you're currently receiving then yes, you will likely not be entitled to any HB and it will end. There may also be a small fine on top of the overpayment for not reporting the changes. You should have reported the changes when the child benefit ended for him.

n1guy said:

  We also don’t get universal credit we’re still on tax credits 

I know you don't claim UC because you're still claiming HB, which is why i advise you to use a benefits calculator to check entitlement to UC. Non dependant deductions are a lot more generous for housing element and as he's under 21 there won't be any deductions.

n1guy

poppy12345 said:

If his earnings are less than £154/week the deduction on your HB will be £16.45/week.

If his earnings are between £154 and £223.99/week then the deduction is £37.80/week. If the deduction is more than what you're currently receiving then yes, you will likely not be entitled to any HB and it will end. There may also be a small fine on top of the overpayment for not reporting the changes. You should have reported the changes when the child benefit ended for him.

n1guy said:

  We also don’t get universal credit we’re still on tax credits 

I know you don't claim UC because you're still claiming HB, which is why i advise you to use a benefits calculator to check entitlement to UC. Non dependant deductions are a lot more generous for housing element and as he's under 21 there won't be any deductions.

I just phoned HB. They tell me this applies from when CB stopped at 16. Been over paid 2 years.  Screwed is an understatement 

poppy12345

n1guy said:

poppy12345 said:

If his earnings are less than £154/week the deduction on your HB will be £16.45/week.

If his earnings are between £154 and £223.99/week then the deduction is £37.80/week. If the deduction is more than what you're currently receiving then yes, you will likely not be entitled to any HB and it will end. There may also be a small fine on top of the overpayment for not reporting the changes. You should have reported the changes when the child benefit ended for him.

n1guy said:

  We also don’t get universal credit we’re still on tax credits 

I know you don't claim UC because you're still claiming HB, which is why i advise you to use a benefits calculator to check entitlement to UC. Non dependant deductions are a lot more generous for housing element and as he's under 21 there won't be any deductions.

I just phoned HB. They tell me this applies from when CB stopped at 16. Been over paid 2 years.  Screwed is an understatement 

That's not correct. When a child is under 18 there's no non dependant deductions. There are only deductions once they reach 18, unless they are in FTE. Full details are in the link i posted above.

Can i just ask did he leave FTE when he was 16? If not the your child benefit could have continued while he remained in FTE.

n1guy

poppy12345 said:

n1guy said:

poppy12345 said:

If his earnings are less than £154/week the deduction on your HB will be £16.45/week.

If his earnings are between £154 and £223.99/week then the deduction is £37.80/week. If the deduction is more than what you're currently receiving then yes, you will likely not be entitled to any HB and it will end. There may also be a small fine on top of the overpayment for not reporting the changes. You should have reported the changes when the child benefit ended for him.

n1guy said:

  We also don’t get universal credit we’re still on tax credits 

I know you don't claim UC because you're still claiming HB, which is why i advise you to use a benefits calculator to check entitlement to UC. Non dependant deductions are a lot more generous for housing element and as he's under 21 there won't be any deductions.

I just phoned HB. They tell me this applies from when CB stopped at 16. Been over paid 2 years.  Screwed is an understatement 

That's not correct. When a child is under 18 there's no non dependant deductions. There are only deductions once they reach 18, unless they are in FTE. Full details are in the link i posted above.

Can i just ask did he leave FTE when he was 16? If not the your child benefit could have continued while he remained in FTE.

Yes he left at 16, started an apprenticeship in with my employer September, CB stopped then. So it would only be overpayment from Jan then? It was a first line person I spoke to, perhaps she was a bit clueless but she was looking to know the exact month year he started working etc.

poppy12345

If Jan was when he reached 18 then yes, from that date.