UC Question

Jason35x

Hi all and thanks for your support. 

I have a question about UC which I currently get with my partner, we don't work and are both carers.

I finished work in December 2024 when tax credits ended and we claimed UC. I am going to receive £250 holiday pay this month (they didn't want to pay it) which I assume I will have to declare to UC?

I also am receiving £900 for injury to feelings after an agreement with ACAS and a tribunal. This will be paid into a debt as soon as I receive it so I wont have it for more than a day. Do I have to tell UC about that as well?

My partner also has her PIP appeal on the 8th May and could potentially if she wins get back pay of around £1500, again will be paid on a debt same day. Do we have to tell them about that?

We have no savings at all.

Thanks in advance.

TimeLord1

Holiday pay? Yes, declare it and the injury payment.

PiP remains outside of UC, including the back payment; therefore,  it shouldn't affect your UC.

You can make them aware, but it shouldn't be a problem with UC.

TimeLord1

Just keep any records or paperwork regarding injury payment and any letters on the PIP tribunal outcome.

born_again

TimeLord1 said:

Holiday pay? Yes, declare it and the injury payment.

PiP remains outside of UC, including the back payment; therefore,  it shouldn't affect your UC.

You can make them aware, but it shouldn't be a problem with UC.

Depends on OP current savings.

PIP back pay should be declared as it is disregarded for 12 months. 

£900 if going in & out in same AP for debt, is not a issue on reporting

HillStreetBlues

As you have no capital there is no need to declare the £900 compensation payment.

TimeLord1

That's why I stated to keep the relevant information and make them aware.

But the OP stated. "We have no savings at all." So really has no need to be worried.

peteuk

General question - would the holiday pay be classed as income, so therefore will be deducted from the UC at the 55p per £1 rate?

TimeLord1

It really depends on the savings the claimant has because if you're reporting information to UC currently over 6k and a back payment, holiday pay, or severance pay amount suddenly appears in your account,. And you are asked for savings account information, but I believe that will count as income for one month and then capital the following month.

How UC looks at the rate is based on the general idea of getting people back into work. And also you're paying towards the UC system from the deduction; they detract in theory something for something.

born_again

peteuk said:

General question - would the holiday pay be classed as income, so therefore will be deducted from the UC at the 55p per £1 rate?

Surely company paying it would be reporting it via the system to HMRC, which would get to UC systems.

sammyjammy

born_again said:

peteuk said:

General question - would the holiday pay be classed as income, so therefore will be deducted from the UC at the 55p per £1 rate?

Surely company paying it would be reporting it via the system to HMRC, which would get to UC systems.

It will indeed be reported via RTI as earnings.