Universal credit

saver770725

 Hi, I've a question about universal credit. I've spent ages trying to contact CAB. But can't get through. 
 I'm married, rent a home with 2 children and 2 older step children who work full time. I work 37 hours and my wife is self employed, so wages go up and down. 
 I'm looking to change my career to something which more aligns to me. But the job is only 17.5 hours. I can probably pick up some days work with a local firm to boost hours. But this would be uncontracted and on a self employed basis. Again might be up and down. 
 If I were to do this would I be penalised due to dropping hours? I need to know as I do t want to shoot myself in the foot and make it even harder financially. 

Cheers

NedS

Potentially, yes, but I would say unlikely in the scenario you describe.

The sanctionable action is leaving a job voluntarily without good reason, or reducing your income without good reason.

Lets look at the technicalities of those two things.

Firstly, leaving a job voluntarily (LV) without good reason. A decision can only be made and sanction applied in the assessment period after any final earnings for the job being left voluntarily have been received. If you have since started another job, no sanction should be applied (as you've simply changed jobs which is fine). It sounds to me like this is what you would be doing.

Reducing earnings normally applies to a voluntarily reduction in earnings within the same job - for example, voluntarily reducing your hours without good reason.

So as long as you leave one job and start the other without a break, I do not think you will have an issue. If your earnings were to drop to nothing then you would be invited to attend an appointment with a work coach and they would likely want to know why your job had ended.

The only other consideration is if your employed PAYE earnings drop below the AET (any self-employed earnings don't count towards this), then you may be expected to increase your hours/earnings to move you back above this threshold.

saver770725

Thank you. So out of curiosity. Another possible scenario. If I got an apprenticeship which is 15k a year a wage drop of 10k. But working 37 hours. Would UC likely up payments and help out more? 
 I've a few options to consider. Thanks

born_again

saver770725 said:

Thank you. So out of curiosity. Another possible scenario. If I got an apprenticeship which is 15k a year a wage drop of 10k. But working 37 hours. Would UC likely up payments and help out more? 
 I've a few options to consider. Thanks

That would be below the NLW
An apprentice aged 21 in the first year of their apprenticeship is entitled to a minimum hourly rate of £6.40.

• which even on a 1st year would be £12,313 An apprentice aged 21 who has completed the first year of their apprenticeship is entitled to a minimum hourly rate of £11.44.

sheramber

born_again said:

saver770725 said:

Thank you. So out of curiosity. Another possible scenario. If I got an apprenticeship which is 15k a year a wage drop of 10k. But working 37 hours. Would UC likely up payments and help out more? 
 I've a few options to consider. Thanks

That would be below the NLW
An apprentice aged 21 in the first year of their apprenticeship is entitled to a minimum hourly rate of £6.40.

• which even on a 1st year would be £12,313 An apprentice aged 21 who has completed the first year of their apprenticeship is entitled to a minimum hourly rate of £11.44.

OP mentions wage of £15k, a drop of £10k from his present wage.