Are regular monetary gifts considered an income by Universal Credit?

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shelleywa
shelleywa Posts: 125 Forumite
in Benefits & tax credits
Hi all,

Last year, I had to quit my job and move into my Dad's house, to be his live-in carer. I applied for Carers Allowance but they dragged their feet for 16 weeks before refusing my claim. I had zero income and a credit card bill that still needed paying, on top of general living expenses. My Dad has been gifting me £100 a week to live on.

I have just been approved to receive Universal Credit.

What to do about the £100 per week? My Dad wants to continue gifting this to me but will a regular payment from the person I'm living with and caring for impact on my UC claim? Will it be considered an income - as though he is paying me to be his carer - and something I should declare to UC?

What is the best way to deal with this? Should my Dad just pay my credit card directly, or would that somehow impact us as well (knowing what the Gov't are like about such things)?

Any help greatly appreciated.
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  • calcotti
    calcotti Posts: 15,696 Forumite
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    A gift from your father to you, even if regular, is ignored.

    Does your father receive a ‘qualifying benefit’ meaning DLA (mid or high rate care), PIP (Daily Living) or Attendance Allowance. If not that will be why Carer’s Allowance was refused.

    Have you told UC that you care for your dad.
    Information I post is for England unless otherwise stated. Some rules may be different in other parts of UK.
  • Alice_Holt
    Alice_Holt Posts: 5,950 Forumite
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    Good point about telling UC of your caring responsibilities if your father receives a qualifying benefit (AA, PIP, DLA).

    Look at the UC carers addition:
    https://www.turn2us.org.uk/Benefit-guides/Universal-Credit/Additional-Elements-of-Universal-Credit

    https://www.carersuk.org/help-and-advice/financial-support/help-with-benefits/universal-credit#sec1
    Alice Holt Forest situated some 4 miles south of Farnham forms the most northerly gateway to the South Downs National Park.
  • shelleywa
    shelleywa Posts: 125 Forumite
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    calcotti wrote: »
    A gift from your father to you, even if regular, is ignored.

    Is that true even if I am receiving UC carer's element to look after the person gifting me? And he receives AA? And we both live at the same address?

    Do you have to declare gifts to UC?
    calcotti wrote: »
    Does your father receive a ‘qualifying benefit’ meaning DLA (mid or high rate care), PIP (Daily Living) or Attendance Allowance. If not that will be why Carer’s Allowance was refused.

    Yes, he does but I was refused because I usually live abroad, so I don't fulfill the "residency" requirement.
    calcotti wrote: »
    Have you told UC that you care for your dad.

    Yes, I get the Carer's element.
  • calcotti
    calcotti Posts: 15,696 Forumite
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    Gifts do not fall within the definition of income for UC purposes so should be ignored. For legacy benefits there was guidance that made clear that gifts were ignored. Unfortunately for UC the guidance is, as far as I can see, simply silent on the subject. It would be different if he was paying you to be his carer.

    If you are worried about it you can ask the DWP.
    Information I post is for England unless otherwise stated. Some rules may be different in other parts of UK.
  • Mojisola
    Mojisola Posts: 35,557 Forumite
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    shelleywa wrote: »
    Last year, I had to quit my job and move into my Dad's house, to be his live-in carer. I applied for Carers Allowance but they dragged their feet for 16 weeks before refusing my claim. I had zero income and a credit card bill that still needed paying, on top of general living expenses. My Dad has been gifting me £100 a week to live on.
    calcotti wrote: »
    Gifts do not fall within the definition of income for UC purposes so should be ignored. For legacy benefits there was guidance that made clear that gifts were ignored. Unfortunately for UC the guidance is, as far as I can see, simply silent on the subject. It would be different if he was paying you to be his carer.

    It could certainly look as if this regular money is payment for care.

    Does he have to give you the same amount every week?

    Could he pay some of your bills directly for you?
  • shelleywa
    shelleywa Posts: 125 Forumite
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    Mojisola wrote: »
    It could certainly look as if this regular money is payment for care.

    Does he have to give you the same amount every week?

    Could he pay some of your bills directly for you?

    He pays via regular bank transfer, so he doesn't have to remember to pay it every week (plus his eyesight is poor, so it isn't just a 5 minute job).

    Would there be any implications for him or myself if he just paid it direct to my credit card company, for my debt?
  • pmlindyloo
    pmlindyloo Posts: 13,049 Forumite
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    Personally I would be asking him to pay the money direct to the credit card company - no repercussions from this.

    It would easier this way than UC querying the regular payments.

    Are UC aware that you have been living in Australia recently?

    Only ask because I thought that to be awarded the carer's element of UC you had to meet the eligibility requirements for Carer's Allowance (other than the earnings rule) which you say you do not.
  • Sea_Shell
    Sea_Shell Posts: 9,381 Forumite
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    Do you have any siblings? Are they aware of this arrangement?

    I only ask because even though YOU are doing all the caring, siblings have been known to call into question handling or involvement in parents finances, by another sibling, especially if £100 a week is changing hands. It adds up to a substantial amount over time.
    How's it going, AKA, Nutwatch? - 12 month spends to date = 2.31% of current retirement "pot" (as at end March 2024)
  • shelleywa
    shelleywa Posts: 125 Forumite
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    pmlindyloo wrote: »
    Are UC aware that you have been living in Australia recently?

    Only ask because I thought that to be awarded the carer's element of UC you had to meet the eligibility requirements for Carer's Allowance (other than the earnings rule) which you say you do not.

    Yes, they are. Eligibility is different. For CA, I have to be living here 2 out of 3 years. For UC, only 3 months. Wish I'd known that from day 1, as I applied for CA and waited for the result (16 weeks) before applying for UC and UC cannot be backdated (unlike CA). We live and learn.
  • shelleywa
    shelleywa Posts: 125 Forumite
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    Sea_Shell wrote: »
    Do you have any siblings? Are they aware of this arrangement?

    I only ask because even though YOU are doing all the caring, siblings have been known to call into question handling or involvement in parents finances, by another sibling, especially if £100 a week is changing hands. It adds up to a substantial amount over time.

    No, just me :(
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