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Welfare Rights Benefit Training 2012

Welfare Rights Benefit Training 2012. Looking at the various benefits available D.L.A, E.S.A, J.S.A , Attendance Allowance, Carers Allowance, Working Tax Credit etc. How you qualify for them and the amounts involved. Mention the benefit cap due in next April.

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Welfare Rights Benefit Training 2012

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  1. Welfare Rights Benefit Training 2012

  2. Looking at the various benefits available D.L.A, E.S.A, J.S.A , Attendance Allowance, Carers Allowance, Working Tax Credit etc. How you qualify for them and the amounts involved. Mention the benefit cap due in next April. If you get time move on to a brief overview of how housing benefit is calculated.

  3. The benefits system? Benefits divide into 2 main groups: Non-means-tested benefits & Means-tested benefits There are other benefits that do not neatly fit into either group. For example 'back to work' benefits.  Benefits are administered by the Department for Work and Pension (DWP), HM Revenue and Customs or local authority.  

  4. The benefits Non means tested benefits Each of these benefits has different rules. Once a person satisfies these rules they usually get the benefit regardless of any other income / savings that they have. Additional amounts may be claimed for adult dependants before April 2010.  Additions for children were replaced by Child Tax Credit for new claimaints from 7 April 2003.  These Non-means tested benefits are split into 2 main headings of ‘contributory’ and ‘non - contributory’.

  5. Contributory benefits • In order to qualify a person must have paid enough ‘National Insurance contributions’ • Which are usually deducted from a person’s wage. • HM Revenue and Customs national contributions office keeps a record of all contributions paid.  • Non contributory benefits • To get these benefits, a person does not have to have paid National Insurance contributions, they just have to satisfy the basic conditions. The benefits are also usually paid whatever other income / savings a person has.

  6. Means tested benefits Means tested benefits are not affected by how much National Insurance contributions a person has paid. They are affected by the claimant's circumstances, capital and income and involve a calculation. Each means tested benefit has its own qualifying rules. Amounts Each benefit has its own rate - which is fixed by Parliament.  It can be one single amount or various elements (Premiums ect) which can be part of a calculation. Particularly with means tested benefits. Most benefits are 'uprated' each April and at other times througout the year. 

  7. Income Support (IS) • Can be claimed by people who do not have to be • available for and actively seeking work. For • example, carers or lone parents.  • It can be paid as the sole form of income or as a • ‘top up’ to other low income. It also includes limited • help with mortgages and is non-taxable.   • The elements for children in Income Support are • being replaced by Child Tax Credit.

  8. Examples of people who can claim Income Support Incapable of work - under very limited circumstances Entitled to Statutory Sick Pay Registered blind (replaced by Employment and Support Allowance for most new claims from December 2009) The number of hours or wages capacity are reduced by 75% due to a disability (replaced by Employment and Support Allowance for most new claims from January 2010) Some people can still get Income Support on these grounds.

  9. Lone parent - until youngest child reaches a certain age (5) On parental or paternity leave Pregnant and within 11 weeks of birth Fostering a child Certain carers Certain pupils or students or trainees Some refugees

  10. Jobseekers Allowance - income based (JSA - IB) This is the equivalent of Income Support for those who sign on as available for and actively seeking work.  The requirement to sign on applies to both in a couple claim - unless exempt. Can be paid as a ‘top up’ to Jobseekers Allowance – contribution based (JSA – CB). Also includes limited help with mortgages. It is taxable. The elements for children in Jobseekers Allowance - income based are being replaced by Child Tax Credit.

  11. Pension Credit Introduced on 7th October 2003, Pension Credit is administered by the Pension Service which is part of the DWP. Pension Credit has two elements: The Guarantee Credit Is basically Income Support for people of pension age and over. The Savings Credit. The way this is claculated is different from other means tested benefits: People aged 65 and over, get 60p a week for every pound they have 'saved' for retirement above a certain level. This includes income from capital and private and occupational pensions. But it only goes up to certain limits and is reduced as these 'savings' get higher. Pension Credit is not taxable.

  12. Social Fund The Social Fund is a system of non-taxable grants and loans. For most of them, the claimant has to be on a particular benefit, for example, Income Support.  Capital over a certain amount may be taken into account  unless the claim is for a Sure Start Maternity Grant, a Cold Weather Payment or a Winter Fuel Payment. The Social Fund can be divided into two parts - the discretionary Social Fund and non discretionary Social Fund.

  13. Discretionary Social Fund Budget-limited and discretionary. Types of payment:- Budgeting loans Repayable, interest-free loans for those who are on Employment and Support Allowance (income related), Income Support, JSA - IB or Pension Credit (Guarantee Credit). Loans may be made for intermittent expenses, for example, clothes, cooker.

  14. Community Care Grants Non-repayable amounts to help those on Employment and Support Allowance (income related), Income Support, JSA - IB or Pension Credit (Guarantee Credit). Payments can be made in the following situations: When moving into the community from an institution To help remain in the community & avoid moving into an institution To help set up home in the community after an unsettled way of life To ease exceptional pressure on a family For certain travel expenses, for example, visiting someone who is ill

  15. Crisis loans Repayable, interest-free loans for those who have short term needs in a crisis. A claimant does not have to be in receipt of benefit to claim. A cap of 3 crisis loans for general living expenses in a rolling 12 month period may apply.

  16. Non discretionary Social Fund Regulated and not discretionary. Types of payment:- Cold Weather Payments Made automatically in periods (seven consecutive days)  of exceptionally cold weather and you get a benefit like Pension Credit or Income Support (with a certain premium), or have a child under five, or on Child Tax Credit with a disability element.

  17. Funeral Expenses Payments Help with funeral costs for a 'close relative' of the deceased. You must be on a certain benefit, like Income Support or Housing Benefit.  Payment may be refused if, for example, there is another close relative not also getting a qualifying benefit. The amount paid only covers certain basic costs.

  18. Sure Start Maternity Grants Those on a benefit like Income Support or Child Tax Credit (at a certain rate) who have received health and welfare advice from a health professional will get £500 for having a baby. However, from April 2011, an award cannot be made where there is another child under 16 in the family at the date of claim. Exceptions to this rule apply.  Winter Fuel Payments A single lump sum payment for those pension age and over in winter.

  19. Tax Credits In April 2003, Tax Credits replaced: Working Families Tax Credit, Disabled Persons Tax Credit Childrens Tax Credit (the tax allowance which used to be Married Man's Tax Allowance) Child additions for some non means tested benefits (although they continue for existing claimants) Child elements in Income Support and Jobseekers Allowance - income based. Existing claimants with child additions can choose to continue until they are transferred to Child Tax Credits.

  20. Tax Credits consists of two separate credits: Child Tax Credit For people with children. Paid to the main carer. Working Tax Credit For people working 16 or more hours a week and either have children lone parents (24 hour for many couples now) are disabled, or  are 25 and over and work 30 hours or more a week (relaxed to 16 hours a week for those 60 and over from april 2011). Includes help with child care costs

  21. Tax Credits awards are calculated annually and re-assessed every April but can be changed in between. They are administered by HM Revenue and Customs.  Tax Credits are not taxable.

  22. Council Tax Benefit Paid to help people on a low income pay their Council Tax. Paid by the local authority. It is not taxable.  Discretionary payments can be made for people on Council Tax Benefit who are in financial hardship

  23. Education Benefits Paid for some children at school by the local council's Education Department and includes: Free school meals for children of families receiving Employment and Support Allowance (income related), Income Support, JSA - IB, Pension Credit Guarantee or Child Tax Credit (where income is below £15,860 or if the maximum Working Tax credit is paid in Scotland only) Education Maintenance Allowance for some young people staying on at school or college where household income is below £20,351 with one child or £22,403 if more than one child is in the household EMA is £30 weekly.

  24. Employment and Support Allowance (income related) (ESA(IR)) replaced Income Support on grounds of incapacity or disability for new claims from 27 October 2008. It can be paid as the sole form of income or as a 'top up' to other income. There is also a contributory form of Employment and Support Allowance. ESA(IR) can be paid to 'top up' ESA (contribution based). ESA(IR) can be claimed by people who have "limited capability for work". It is paid at a basic rate for the first 13 weeks. An additional component is paid from the 14th week (But only once the medical has been passed).  ESA(IR) is not taxable.

  25. Housing Benefit (HB) Paid to tenants who are on a low income and pay rent. It is paid whether or not the claimant is working and can be paid with other social security benefits or by itself. Administered by the local authority and is non-taxable. From April 2008 Local Housing Allowance introduced a change to Housing Benefit for private tenants. Discretionary payments can be made for people on Housing Benefit who are in financial hardship.

  26. Contributory benefits In order to qualify a person must have paid enough National Insurance contributions The main contributory benefits are: Bereavement Benefits Paid to some people whose spouse has died. Entitlement depends mainly on the national insurance contribution record of the late spouses or if they died as a result of an industrial accident or disease and the claimant's age at death. There are three different bereavement benefits:

  27. Bereavement Allowance Paid for one year to bereaved if over 45 but under pensionable age who are not receiving Widowed Parents Allowance. It is taxable. Bereavement Payment A tax-free lump sum payment of £2,000. The bereaved must be under pension age when their spouse dies or if older, the spouse was not entitled to a Category A Retirement Pension when they died. Widows Benefits - no new claims from 9.4.2001 however some women will continue to receive these benefits. Widowed Parents Allowance Paid to bereaved with children, or who are pregnant by late husband and under pension age when spouse died. It is taxable.

  28. Employment and Support Allowance (contribution based) (ESA(C)) replaced Incapacity related Benefits for people who cannot work because of illness or disability, for new claims from 27 Ocotber 2008. It can be topped up by Employment and Support Allowance (income related) ESA(C) can be claimed by people who have "limited capability for work". It is paid at a basic rate for the first 13 weeks. An additional component is paid from the 14th week once the medical has been passed.

  29. Incapacity Benefit Incapacity Benefit was replaced for new claims from 27 October 2008 by Employment and Support Allowance. People already getting it on 27 October 2008 stay on in it until they stop being entitled or are gradually tested under the ESA test. This change over has started to happen from February 2011. Incapacity Benefit is paid to people who cannot work because of illness or disability. This has to be shown, in most cases, by completing a long form (IB50) and satisfying the 'Personal Capability Assessment'. This is where the claimant has to score a certain amount of points (15) for not being able to do certain physical and mental activities.

  30. Jobseekers Allowance - Contribution based Paid to people who are unemployed or who are working less than 16 hours a week but only if they have paid enough National Insurance contributions at the right time. It is paid for 6 months and is taxable. There are strict labour market conditions that must be satisfied. For example, having to be available for work. Earnings and occupational and personal pensions over £50 weekly are taken into account.

  31. Retirement Pension Paid to those people over pensionable age.  A common pension age of 65 for both men and women has been introduced. This change will be phased in for women born on or after 6 April 1950 between 2010 and 2020.  There are two categories of Retirement Pension: A or B. Category A pensions are payable on a person's own National Insurance contribution record throughout his/her working life. Both categories are taxable.

  32. Non contributory benefits To get these, a person does not have to have paid National Insurance contributions, they just have to satisfy the basic conditions. The benefits are also usually paid whatever other income a person has. This means they share the general title of “non-means-tested benefits” with contributory benefits. The main non-contributory benefits are: 

  33. Attendance Allowance (AA) Paid to ill or disabled people who first claim aged 65 and over, who have care / attention or supervision needs. There are two rates of payment depending on the level of care or supervision needed. Low rate £51.85 weekly High Rate £77.45 weekly It is non-taxable.

  34. Carers Allowance Paid to people who spend at least 35 hours a week caring for someone who gets either Attendance Allowance or Disability Living Allowance care component - higher or middle rate or Constant Attendance Allowance of £63.30 or over weekly. The carer must not be in full time education (Over 21 hours) or earning above a certain amount (£100) after allowable deductions. Dependents additions may be payable. It is taxable.

  35. Child BenefitPaid for children under 16 years old. For those who stay on at school or take up unwaged training, it can be extended up to their 20th birthday. It is non-taxable. Administered by Revenue and Customs.

  36. Disability Living AllowancePaid to some ill or disabled people who claimed before age 65. It is made up of 2 components -Care component - for people who need attention or supervision due to an illness or disability or are unable to prepare a main meal for one person, andMobility component - for people who have problems walking or need supervision while walking.This is the only benefit available to children

  37. There are three rates of payment of the care component and two rates of the mobility component. The highest of each component can be paid at the same time or any other combination. It is non-taxable.Request a date stamped  DLA claim pack on 0800 88 22 00

  38. Guardians AllowanceA tax free benefit paid to people looking after children who are effectively orphans or parents in prison. Administered by Revenue and Customs.Industrial Death BenefitPaid to the widow or widower and children of an employee who died before 11 April 1988  due to an accident or disability caused by work.

  39. Industrial Injuries BenefitFor people who are disabled because of their employment. There are various tax-free allowances including Disablement Benefit where the amount of benefit paid depends on the percentage of disability. Reduced Earnings Allowance is also payable in certain circumstances.Other schemes may apply. For example, possible lump sums for exposure to asbestosis causing mesothelioma.

  40. Maternity AllowanceFor pregnant women who have recently worked or are unable to get Statutory Maternity Pay from their employer. Generally this means having been employed or self employed for at least 26 weeks in the 66 weeks immediately before the expected week of confinement and average earnings must have been at least £30 a week. It lasts for 39 weeks. It is paid at one of two rates depending on recent earnings from employment or self employment. Dependants additions were abolished in April 2010. It is non-taxable.

  41. Severe Disablement AllowanceThis non-taxable benefit was abolished in April 2001. People already on it before this date continue to receive it if still eligible. Paid to people who were incapable of work but had not paid sufficient National Insurance contributions to qualify for Incapacity Benefit. Additions were payable for a spouse and children.Some people on SDA will eventually have to undergo the Employment and Support Allowance medical test.

  42. Statutory Adoption PayPaid by employers to some employees during adoption leave. It is paid for a maximum of 39 weeks. It is taxable. Statutory Maternity PayPaid by employers to some employees who are pregnant or who have recently given birth. They must remain in work until 11 weeks before the baby is due. It can be taxable in certain situations. It is payable for 39 weeks. 

  43. Statutory Paternity PayPaid by employers to some employees for parental leave following the birth or adoption of a child. It is paid for a maximum of two weeks. It is taxable. Additional Statutory Paternity PayMothers can give some of their maternity leave and pay to the father. This also applies to adoption pay and leave. If a birth is due or notification of an adoption match falls on or after 3 April 2011, a father, partner or carer can receive additional SPP of up to 26 weeks. It allows the parents to swap who is the main carer from 20 weeks after the child is born or adopted.

  44. Statutory Sick Pay (SSP)This benefit is for employed people who are sick for four or more work days in a row. It is claimed from an employer and can be paid for a maximum of 28 weeks. A person may be entitled to company or contractual sick pay in addition to SSP. A person does not have to claim SSP. Their employer will arrange to pay the SSP usually when a person gives in medical certificates after more than seven days of sickness. If an employer cannot pay SSP or entitlement has been used up Employment and Support Allowance should be claimed. Remember Employment and Support Allowance can be paid even if wages are still being paid.There are no additions for dependants. It can be taxable in certain situations.

  45. War Pensions and Armed Forces Compensation SchemeFor people who are either injured or disabled whilst working or serving in the armed forces. It can also be paid to widows and widowers of those who have served or worked in the armed services. There are various tax-free allowances similar to Industrial Injuries Benefits. It changed to Armed Forces Pension and Compensation Scheme in April 2005 with equal treatment for other ranks and unmarried partners. Can choose to stay on War Pension.

  46. Back to work and training benefitsExtended payments of Housing and Council Tax BenefitMortgage interest 'run-on'Job GrantReturn to work creditIn work creditSelf employment creditDiscretionary help from Jobcentre Adviser 

  47. Disability Living Allowance What is it?A non-means tested non-taxable, Social Security Allowance paid to people who need supervision or help with their daily or nightly care needs or are unable to prepare a main meal for one or have mobility problems.It is paid in two parts, the care component (Low £20.55, Middle £51.85, High £77.45) and mobility component (Low £20.55, High £54.05) you can have one on its own or both together.

  48. You should have needed the help or had mobility problems normally for three months before you claim and they should be expected to last at least another six months. It can be claimed for the first time by anyone under 65, this includes children.For people over 65 needing help for the first time the equivalent benefit is Attendance Allowance.

  49. Any award of D.L.A increases the amount you or your family could receive in means tested benefits such as Income Support, Jobseekers Allowance, Employment Support Allowance Income Related, Housing and Council Tax Benefit, and Health Benefits. Certain levels also acts as a passport to, the disability element in Working Tax Credits, Child Tax Credits, Various Grants, Carer Allowance, Blue Badge, Car Tax Exemption, Driving Licence at age sixteen, etc, etc.

  50. You should have a full benefit check done if you or any of your family are awarded any level of D.L.A or an increased rate 01387 266888.Important note:This benefit is paid for your care, supervision and mobility needs you can get the benefit even if you live alone with no help or supervision. As long as any help or supervision is reasonably required you should still qualify for D.L.A.

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