UC and HB Calculation?

paddytt

Hi 

We are hosting a family from Ukraine, and we are trying to help them to move into private rented accommodation.  They would like to calculate how much HB they will get in addition to their current UC.  I have entered all the same info into the three calculators listed on .gov and I get three different results!   And more than £100 a month difference…
Can anyone help me calculate the correct figure so they can check their budget?
many thanks
TT

Spoonie_Turtle

They can check the maximum they can get here https://lha-direct.voa.gov.uk/ (depending on where they'll move to).

Of course what they actually receive will depend on any earnings.  The housing element is part of UC.

paddytt

Thanks, done that but looking to do an accurate calculation if possible…

Spoonie_Turtle

Which calculators did you use before?  It's strange to get results so different, usually they're within a couple of pounds of each other - to be quite honest it sounds more likely a mistake was made with the information input for one of them (easily done).

The LHA will completely depend on where they move to.  To convert weekly amounts to monthly, x52 and ÷12.  That's what will be added to their current maximum UC.  Although I guess it's possible they might be affected by the benefit cap.

If they are earning then 55% of earnings will be deducted from their UC. 
If they have children, they'll get to keep the first £335 of earnings each month, then 55% of the rest deducted.

calcotti

If the only thing that will change is having to pay rent then the increase to the UC will be the relevant LHA rate which can be found using the link provided by spoonie.

paddytt

The complication is that there are two adults (friends, not related) and one young child.  Therefore they will split the rent between them, the one with the child will get the max but the other one not…

calcotti

paddytt said:

The complication is that there are two adults (friends, not related) and one young child.  Therefore they will split the rent between them, the one with the child will get the max but the other one not…

If your opening post referred to a family so I’m a bit confused - I assume you mean one of the adults and child and the second adult is a separate party. That wasn’t explained in the opening post. It isn’t possible to offer relevant advice if the information provided is incomplete.

If they are not a couple they will have separate UC claims (if applicable).

If they are renting a three bedroom property as joint tenants it would be reasonable to treat the one adult as liable for one third of the rent and for the other to be treated as liable as two thirds of the rent.

The one would therefore get either one third of the rent or the LHA rate for a one bedroom property (if they are 35 or over, if under 35 they get the shared room rate).

The other would then get two thirds of the rent or the applicable LHA rate for a two bedroom property.

For each of them the amount is the lower of their rent liability or the relevant LHA amount.

The subdivision of the rent liability for UC purposes in the way I suggest is something a DWP Decision Maker would have to decide.

paddytt

that’s very helpful, thank you.  The second one has the child (5) and would normally be entitled to a two bed.  Would she get two-thirds of the two bed LHA rate?
thanks
TT

paddytt

The results for the adult with child are as follows:
Turn2Us:  £964
entitledto:  £888
BetterOff:  £864

So exactly £100 difference…
I have checked the input three times and the results are the same.  The only difference I can see is that Turn2Us is the only one with the option to select “currently staying with a family under Homes for Ukraine Scheme”
any advice welcome!
Thanks
TT

calcotti

paddytt said:

that’s very helpful, thank you.  The second one has the child (5) and would normally be entitled to a two bed. 

Typo - corrected my previous post to say two bedroom LHA rate. Apologies for that.

She doesn’t get two thirds of the LHA rate. She gets the lower of the two bedroom LHA rate or two thirds of the rent (if that’s how UC agree to divide it).

poppy12345

paddytt said:

 They would like to calculate how much HB they will get in addition to their current UC. 

Just so that you're aware, HB is a completely different benefit. Unless they are either living in temporary or supported housing their rent will be paid as part of UC known as housing element.