Universal Credit Migration & hubby's private pension

minx79

Hi

I have received the migration notice to move to universal credit from tax credits by the 23rd April. 

I have read to delay the application until after 8th April to take advantage of increased payments (on entitled to website)

The problem is, my husband was able to take his pension early so his income is now his pension and I work 30 hours a week.

On tax credits, his pension was classed as other income. On Universal Credit it specifically asks about private pensions. If I enter his private pension on entitledto, it says we are not entitled to any Universal Credit at all whereas we get £560 approx in tax credits at the moment. As we live in Scotland, it also says we will not be entitled to the Scottish Child payment of £100 per month for my daughter. 

I know we should get transition payments but what happens if it says we are not entitled to universal credit at all?

And will the transition payment restore our payment of Scottish Child payment?

If anyone has any advice, it would be much appreciated otherwise I will have to call and try and ask and I don't know if I would get a helpful answer.... 

Thanks 

huckster

Scotlands benefit system is a bit different to England. If you don't get a specific Scottish answer on this site, probably based to seek local advice.

I doubt Entitledto would properly calculate transitional benefit awards.

justwhat

minx79 said:

I know we should get transition payments but what happens if it says we are not entitled to universal credit at all?
 

You always get transitional relief. Many are not entitled to UC , but still get transitional relief for one year.

i am no expert , is it possible the UC system does not like the fact your husband works zero hours.  Or is it possible you have hit certain thresholds on UC? 

 

peteuk

UC calculators aren’t built to take into account TP.  Is there another reason why the calculator is saying no entitlement?

Run the calculator without the pension to see if this is the case?
Do you have savings or capital above £6K or £16K?  - if above £16K then the calculator wil automatically say no entitlement, however as your migrating the transitional period will ignore the £16K for the year.

Newcad

Just to note that where people above are saying that Transitional Protection runs for 12 months, that is not strictly correct.

There are two different types of Transitional Protection in a migration from Tax Credits to UC.

The first is the "standard" Transitional Protection meant to make sure that you are no less off than before (that isn't always the case though as some are finding).
That Transitional Protection is additional to your 'normal' UC entitlement and runs until that 'normal' entitlement catches up to what you are getting paid extra, which could be many years.

The second is the Savings/Capital Disregard for those who have over £16K of savings/capital, it means that despite those savings they can still claim UC.
That is the one that only runs for 12 months (Actually 12 UC assessment periods).

HillStreetBlues

Newcad said:

Just to note that where people above are saying that Transitional Protection runs for 12 months, that is not strictly correct.

There are two different types of Transitional Protection in a migration from Tax Credits to UC.

The first is the "standard" Transitional Protection meant to make sure that you are no less off than before (that isn't always the case though as some are finding).
That Transitional Protection is additional to your 'normal' UC entitlement and runs until that 'normal' entitlement catches up to what you are getting paid extra, which could be many years.

The second is the Savings/Capital Disregard for those who have over £16K of savings/capital, it means that despite those savings they can still claim UC.
That is the one that only runs for 12 months (Actually 12 UC assessment periods).

There also a third TP
Full time students who claim tax credits.
This allows them to claim UC during their couse, where otherwise would be ineligible for UC

minx79

peteuk said:

UC calculators aren’t built to take into account TP.  Is there another reason why the calculator is saying no entitlement?

Run the calculator without the pension to see if this is the case?
Do you have savings or capital above £6K or £16K?  - if above £16K then the calculator will automatically say no entitlement, however as your migrating the transitional period will ignore the £16K for the year.

Hi

no savings or capital above 6k/16k. 

Newcad said:

Just to note that where people above are saying that Transitional Protection runs for 12 months, that is not strictly correct.

There are two different types of Transitional Protection in a migration from Tax Credits to UC.

The first is the "standard" Transitional Protection meant to make sure that you are no less off than before (that isn't always the case though as some are finding).
That Transitional Protection is additional to your 'normal' UC entitlement and runs until that 'normal' entitlement catches up to what you are getting paid extra, which could be many years.

The second is the Savings/Capital Disregard for those who have over £16K of savings/capital, it means that despite those savings they can still claim UC.
That is the one that only runs for 12 months (Actually 12 UC assessment periods).

Hopefully should get the standard transitional protection but it all depends I guess on what happens when I do the switch over application. 

Although hubby has this pension and doesn't work as such - we have three kids (teens now) with autism/adhd who he watches over and helps as well as doing the housework etc. Neither of us claim carers allowance because we don't have to spend the required time (I think) in looking after any one of them because obviously they attend school most of the day. Youngest needs walked to and from school and needs the most support but I still am not sure it amounts to enough to claim carers allowance. The oldest now gets adult disability payment and the youngest gets child disability payment, the middle doesn't get anything yet but a potential application is in progress for him. 

Thanks for the replies, I am feeling a little more hopeful that we might not end up cut off with nothing.

peteuk

Thanks for the replies, I am feeling a little more hopeful that we might not end up cut off with nothing.

If the initial reply comes back as £0 then there is the mandatory reconsideration (MR) route. 

ader42

I think your husband would be expected to agree to look for work as part of the application and if offered a job take it; despite him having a private pension income. Can anyone confirm? 

Spoonie_Turtle

ader42 said:

I think your husband would be expected to agree to look for work as part of the application and if offered a job take it; despite him having a private pension income. Can anyone confirm? 

Depends whether the OP's earnings are above the joint AET.  If not then yes, he'd likely have to.  Pension is unearned income, not earnings that count towards the conditionality thresholds.

kaMelo

Although important to note the couples AET threshold is due to be abolished. As to when, who knows, but there was an amount budgeted for this change in the 2024/25 figures.