RSU has messed up my UC claim

GreenNeedle1

At my place of work, in 2021 we were all given restrictive share units as a sort of incentive to stay working there. In March they vested and were avaliable. They have taken the amount put it through PAYE and it has been deducted through my universal credit. I am trying to dispute this but dont really know where I stand.

Brie

Unfortunately I would think that they would count as savings and as such will affect your UC.  The only thing you can do I believe is to cash them in and spend that money until the UC can go back into payment.

born_again

https://forums.moneysavingexpert.com/discussion/6517597/how-rsu-affect-uc/p1

GreenNeedle1

Brie said:

Unfortunately I would think that they would count as savings and as such will affect your UC.  The only thing you can do I believe is to cash them in and spend that money until the UC can go back into payment.

The amount was very low around 1900 so I dont think it would effect my uc right?

sheramber

It is counted as earnings along with your normal earnings. 

It has reduced your UC as such. 

Yamor

It may depend on the precise terms of the RSU, but in most cases RSUs are taxed as "specific employment income" and not "general earnings", and therefore (despite being taxed through payroll), should NOT count as income for UC.

UC is not set up for such cases and will automatically include anything taxed through payroll as earnings.

As such, it is likely worth requesting an MR and then appealing the decision to include the RSUs as earnings.