Leaving work to become full time carer

PinkDalek42

Hi, I'm finishing at my job next week to become a full-time carer for my son. I'm a single parent to him and his older brother. He already gets DLA (middle rate care, lower rate mobility). Currently, we've been getting help from 'historical benefits' as I've been working part-time (tax credits and housing benefit). I'm going to need to move onto Universal Credit, and I should be able to claim carers allowance. Am I right in thinking I can't start the process until I get my P45? My final pay will be 31st July, and my P45  should be available in 'early August' according to HR. 
Is there anything else I should be aware of? 
Thanks in advance 

HillStreetBlues

You should start your UC claim the day after you finish your job.
So if last (paid) day is the 14th july  you open the UC claim on the 15th.

Please read post below by Spoonie

poppy12345

There's no financial gain to claiming carers allowance and UC at the same time because it's just deducted in full from any UC entitlement. The only difference is that you'll receive class 1 NI credits from CA but only class 3 from UC.

When you claim UC you'll need to make sure you report being a carer and your UC will include the carers element.

Spoonie_Turtle

HillStreetBlues said:

You should start your UC claim the day after you finish your job.
So if last (paid) day is the 14th july  you open the UC claim on the 15th.

Probably better to claim the day after the final payment, otherwise the UC a few weeks later will be reduced or even nil due to earnings.

Edit: actually no, not if it's not a full month's wages.  OP you could put your details into a benefit calculator, do one calculation as if you've received your final pay and one as if you haven't, to see the difference. 

Your first UC payment will be one month and one week after you submit the claim, just so you know for budgeting.

HillStreetBlues

Spoonie_Turtle said:

HillStreetBlues said:

You should start your UC claim the day after you finish your job.
So if last (paid) day is the 14th july  you open the UC claim on the 15th.

Probably better to claim the day after the final payment, otherwise the UC a few weeks later will be reduced or even nil due to earnings.

Edit: actually no, not if it's not a full month's wages.  OP you could put your details into a benefit calculator, do one calculation as if you've received your final pay and one as if you haven't, to see the difference. 

Your first UC payment will be one month and one week after you submit the claim, just so you know for budgeting.

Good point.
I read it as this week.
As it's next week then could well be better waiting till day after payday.

Robbie64

poppy12345 said:

There's no financial gain to claiming carers allowance and UC at the same time because it's just deducted in full from any UC entitlement. The only difference is that you'll receive class 1 NI credits from CA but only class 3 from UC.

When you claim UC you'll need to make sure you report being a carer and your UC will include the carers element.

One advantage of claiming Carers Allowance is that the person can opt to receive it each week which for some can help with budgeting rather than getting UC once a month (or having to ask for it to be paid twice a month) and then having to stretch it out until UC is next paid.

PinkDalek42

Thanks for all the comments. My final pay is actually going to be more than usual, as I have holiday pay due (I was working in a school, so our pay is worked out pro rata and split over 12 months).  Not sure what impact this will have. I know that my usual housing benefit will be reduced (probably eliminated), but this will then leave me short for my Sept rent! They don't make this easy do they! I figured if I wait for my p45 they can see that I'm no longer working, if they assess it on my last pay I doubt I'll get anything! 

PinkDalek42

Oh and to clarify dates  my final day working will be 21st July, my final pay 31st July and my P45 should be received in 'early August'.

poppy12345

You should still use a benefits calculator and do what Spoonie advised here.

Spoonie_Turtle said:

 you could put your details into a benefit calculator, do one calculation as if you've received your final pay and one as if you haven't, to see the difference. 

Spoonie_Turtle

PinkDalek42 said:

Thanks for all the comments. My final pay is actually going to be more than usual, as I have holiday pay due (I was working in a school, so our pay is worked out pro rata and split over 12 months).  Not sure what impact this will have. I know that my usual housing benefit will be reduced (probably eliminated), but this will then leave me short for my Sept rent! They don't make this easy do they! I figured if I wait for my p45 they can see that I'm no longer working, if they assess it on my last pay I doubt I'll get anything! 

UC don't need to know that to progress your claim.  It goes on actual earnings received, regardless.

The only way to know if you might receive anything if they take your final pay into account is to do the benefit calculation.  But you would be entitled to the carer element plus disabled child element on top of the standard allowance, two child elements, and rent.  You'll also have the work allowance, an amount disregarded before they take deductions.  So don't assume, do the calculations

[I don't know the rules for Tax Credits by the way, whether you would continue getting them for another X number of weeks or not.  They are not responsive to sudden changes of income whereas UC is worked out monthly based on actual earnings.]