Distributing estate early

Jowwie

Not an expert I am afraid as assessed income period did not apply in our case. My understanding is those that have it get regular correspondence from the DWP which states that they are on it, and that they do not need to report any savings changes unless it would entitle them to more PC.

If DWP do come seeking a large repayment it might be worth asking them directly if they were on an AIP since it can be overlooked.

Regarding the interest payments I don't think you need to worry about that if you are still within the first 12 months since death ("executors year"). There are interest calculators out there, example here. Other calculators are available and I am not saying use this one or that it is correct 😉 it is just one I found with a quick google. I did pay interest to the pecuniarys in our case. They were not expecting it (including a charity).

https://procalculator.co.uk/pecuniary-legacy-interest-calculator/

poseidon1

https://forums.moneysavingexpert.com/discussion/comment/82138834#Comment_82138834

Sorry OP can't assist on the DWP predicament.

For the client base I dealt with before I retired, interaction with the state benefits system was non exsistent whilst substantial IHT liabilties were the norm.

Regalia6969

https://forums.moneysavingexpert.com/discussion/comment/82138850#Comment_82138850

@Jowwie thank you for turning me onto the Assessed Income Period rabbit hole! I've since discovered my relatives claim began 2010 and they had 2 consecutive AIPs covering up until 2018. So at least that restricts how many years back they can go by a certain amount.

I wanted to ask, in the reclamation from the estate you dealt with, was it solely the benefits themselves that had to be paid back or did any council tax reductions or things of that nature also have to be paid back?

Jowwie

Well that's some good news at least.

I am not best to advise on council tax because there was some complexity in our case. Two houses involved, the relative owned one (trying to sell), was living in another (initially as a carer themselves and then under the terms of another will), and passed after a few months in care. Council tax was being paid but possibly not as much as could have been.

Not sure if DWP contacts the council if pension credit entitlement is retrospectively withdrawn. Hopefully others can advise you if they have encountered this or not.

Additional things I can recall are attendance allowance after a lengthy hospital stay, and one winter fuel payment. The latter I think was because the relative was in a care home in the qualifying week for the year they passed not because of PC entitlement.