UC taking 2 months payment against 1 weeks work 1yr before starting claiming

mar<

My daughter did a week's work at a festival one year before claiming Universal Credit after finishing as a student. 
The festival just paid her and her job centre advisor is stopping two months payment. 
They offered her a loan to live on but said she'd be short of money going forward with the payments for the loan. 

Surely this is grossly unjust?

The advisor gets very aggressive if questioned. 

What can my daughter do please?

huckster

UC takes into account earnings in the monthly assessment period they are received. Does not matter when a person actually worked.

mar<

That seems crazy. My daughter would be better off having not worked at all. 
Then you have people working the system for all it's worth.

mar<

The late payer by the way was the Urdd where my daughter worked her guts out for a week picking litter all hours

kaMelo

Unless the payments were split across two assessment periods (or it was a very large payment) then it should only affect one month's UC award for the assessment period in which it was received.

Spoonie_Turtle

It's nothing to do with her advisor, it should only be the computer system dealing with the earnings when they're received.

If the payment if so large it's fallen into the surplus earnings rule, she definitely shouldn't be needing a loan.

https://www.gov.uk/guidance/universal-credit-and-earnings#if-you-earn-2500-or-more-over-your-earnings-limit

https://www.entitledto.co.uk/help/universal_credit_surplus_earnings

peteuk

Her UC wil be reduced by 55p for every £1.00 paid in that assessment period.  If the payment is big enough then her award for that period would be zero,  but she would be expected to use the income to live off rather than then UC, so I can’t see why she will be sort of cash.

How it has been left a year for the payment I’m not sure.  

CosmoChic

@peteuk

I think OP was saying should her daughter take the loan, then the daughter would short for the duration the loan repayments have to be made.

That said, I'm another one perplexed as to why the daughter would need a loan given she's received a backdated wages payment enough to nullify her claim for a month.

sammyjammy

When the benefit is means tested earnings/income is taken into account for the period it is received.  Daughter claims UC for a week, in that week daughter receives money from elsewhere, therefore she has the means to be responsible for herself in that week so the state doesn't need to support her.  Thats how it works.

In this situation the employer is at fault, why did she wait so long for her money?

mar<

CosmoChic said:

@peteuk

I think OP was saying should her daughter take the loan, then the daughter would short for the duration the loan repayments have to be made.

That said, I'm another one perplexed as to why the daughter would need a loan given she's received a backdated wages payment enough to nullify her claim for a month.

The advisor said my daughter would need to take out a loan.

The claim was nullified for two months.

sammyjammy

mar< said:

CosmoChic said:

@peteuk

I think OP was saying should her daughter take the loan, then the daughter would short for the duration the loan repayments have to be made.

That said, I'm another one perplexed as to why the daughter would need a loan given she's received a backdated wages payment enough to nullify her claim for a month.

The advisor said my daughter would need to take out a loan.

The claim was nullified for two months.

If it was £0 for two consecutives months it  must be a large sum, why can't she live off that for the two months?  There shouldn't be a need for a loan.