- Posts: 56
- Forum
- Members forums
- ESA, PIP and DLA Queries and Results
- Managed migration from working tax credit to universal credit
× Members
Managed migration from working tax credit to universal credit
- Jane52
- Topic Author
- Offline
Less More
1 month 2 weeks ago #288725 by Jane52
Managed migration from working tax credit to universal credit was created by Jane52
Hello
Hoping for some help and clarification please on transition from tax credits to universal credit
Have received letter from HMRevenue & Customs stating universal credit is replacing my working tax credit and I must claim universal credit by 20th May 2024. Going on holiday on 20th May 2024 for 5 days so trying to work out when to claim it. Am due a working tax credit payment on 16th May; was going to claim universal credit on 17th May but read on citizens advice site that claim will be backdated a day so I would not get working tax credit payment. Do not know if I read that correctly. Can someone give me advice on best time to claim as I will only get to keep benefit for a year. I do not want to claim too late so that I lose benefit as it helps pay for lots of my things for disability.
Thank you for help
Jane
Hoping for some help and clarification please on transition from tax credits to universal credit
Have received letter from HMRevenue & Customs stating universal credit is replacing my working tax credit and I must claim universal credit by 20th May 2024. Going on holiday on 20th May 2024 for 5 days so trying to work out when to claim it. Am due a working tax credit payment on 16th May; was going to claim universal credit on 17th May but read on citizens advice site that claim will be backdated a day so I would not get working tax credit payment. Do not know if I read that correctly. Can someone give me advice on best time to claim as I will only get to keep benefit for a year. I do not want to claim too late so that I lose benefit as it helps pay for lots of my things for disability.
Thank you for help
Jane
Please Log in or Create an account to join the conversation.
- Gordon
- Offline
Less More
- Posts: 51076
1 month 2 weeks ago #288736 by Gordon
Nothing on this board constitutes legal advice - always consult a professional about specific problems
Replied by Gordon on topic Managed migration from working tax credit to universal credit
J
Tax Credits are not a benefit that we support on the forum but I have some knowledge so will try and comment.
So, your UC will only be time-limited to a year if your household has savings and assets in excess of £16,000 at the time of the claim and you have not reasonably reduced them to under this limit by the end of the year.
As this is a Managed migration you will receive Transitional Protection if your current benefit payments are greater than the amount you would receive on UC.
If you do have more money than the limit then it might make sense to claim late in the three-month notice period to extend the period you might claim UC but I would put your information into one of the online benefit calculators to see what the difference might be,.
www.gov.uk/benefits-calculators
If the UC is higher then it may make sense to jump as early as possible. At least you will have the information to decide.
Gordon
Tax Credits are not a benefit that we support on the forum but I have some knowledge so will try and comment.
So, your UC will only be time-limited to a year if your household has savings and assets in excess of £16,000 at the time of the claim and you have not reasonably reduced them to under this limit by the end of the year.
As this is a Managed migration you will receive Transitional Protection if your current benefit payments are greater than the amount you would receive on UC.
If you do have more money than the limit then it might make sense to claim late in the three-month notice period to extend the period you might claim UC but I would put your information into one of the online benefit calculators to see what the difference might be,.
www.gov.uk/benefits-calculators
If the UC is higher then it may make sense to jump as early as possible. At least you will have the information to decide.
Gordon
Nothing on this board constitutes legal advice - always consult a professional about specific problems
The following user(s) said Thank You: Sheila 966, MDBond
Please Log in or Create an account to join the conversation.
- Jane52
- Topic Author
- Offline
Less More
- Posts: 56
1 month 2 weeks ago #288879 by Jane52
Replied by Jane52 on topic Managed migration from working tax credit to universal credit
Thank you for reply Gordon
That is helpful information. Have studied universal credit a bit more. Transitional protection does not seem fixed for 12 months, rather variable, not fully understanding how this is worked out and what can change transitional protection.
I notice there is not a disability element to universal credit? On Tax credit got disabled element of tax credits.
Was hoping to work less hours this next tax year due to epilepsy and new disability Sjogrens. Not sure if I can do this without if affecting universal credit. Also read up on something called a work capability element of universal credit, that I might fall under limited capability for work, that there is a work allowance attached to this.. That is the level of my understanding of it so far. Is this something benefits and advice can give guidance on e.g whether to mention it when transitioning or not.
Thank you
Jane
That is helpful information. Have studied universal credit a bit more. Transitional protection does not seem fixed for 12 months, rather variable, not fully understanding how this is worked out and what can change transitional protection.
I notice there is not a disability element to universal credit? On Tax credit got disabled element of tax credits.
Was hoping to work less hours this next tax year due to epilepsy and new disability Sjogrens. Not sure if I can do this without if affecting universal credit. Also read up on something called a work capability element of universal credit, that I might fall under limited capability for work, that there is a work allowance attached to this.. That is the level of my understanding of it so far. Is this something benefits and advice can give guidance on e.g whether to mention it when transitioning or not.
Thank you
Jane
Please Log in or Create an account to join the conversation.
- Gordon
- Offline
Less More
- Posts: 51076
1 month 2 weeks ago #288910 by Gordon
Nothing on this board constitutes legal advice - always consult a professional about specific problems
Replied by Gordon on topic Managed migration from working tax credit to universal credit
J
The Transitional Protection is paid while your calculated UC amount is less than the money you were receiving on legacy benefits such as your Tax Credits.
The TP is eroded by increases in your UC, so if you made a claim today, then your TP will be reduced by the annual increase in UC that will be applied in April or early May. You will not receive less money but also you will not receive more until the TP is fully covered.
If you want to be excused from working due to an illness or disability then you need to submit a Fit Note when you make your UC claim, this will start the process for a Work Capability Assessment, see our UC/ESA Guide for the criteria you will need to meet for an award.
Gordon
The Transitional Protection is paid while your calculated UC amount is less than the money you were receiving on legacy benefits such as your Tax Credits.
The TP is eroded by increases in your UC, so if you made a claim today, then your TP will be reduced by the annual increase in UC that will be applied in April or early May. You will not receive less money but also you will not receive more until the TP is fully covered.
If you want to be excused from working due to an illness or disability then you need to submit a Fit Note when you make your UC claim, this will start the process for a Work Capability Assessment, see our UC/ESA Guide for the criteria you will need to meet for an award.
Gordon
Nothing on this board constitutes legal advice - always consult a professional about specific problems
Please Log in or Create an account to join the conversation.
- Jane52
- Topic Author
- Offline
Less More
- Posts: 56
1 month 2 weeks ago #288942 by Jane52
Replied by Jane52 on topic Managed migration from working tax credit to universal credit
Clarification on a couple more points please re transtion from tax credits to universal credit
1)I do not want to be excused from working. Does the transitional protection protect me from something called
the minimum income floor for a year under universal credit. Will not stay under universal credit for more than
a year as close to retiring then. My savings will be above £16000 during period I am on universal credit.
2)Under tax credits I got free dental treatment which I would like to continue to get as have a disability with high
dental costs. UC talks of take home pay monthly needing to be £435 or less to qualify for this. Can I pay money
into private pension to keep money around this level or lower. Paid all of my self employed net earnings into pension when under tax credits. Can I continue to do this under universal credit in the managed migration period of 12 months without it having negative consequences.
Thank you for help
Jane
1)I do not want to be excused from working. Does the transitional protection protect me from something called
the minimum income floor for a year under universal credit. Will not stay under universal credit for more than
a year as close to retiring then. My savings will be above £16000 during period I am on universal credit.
2)Under tax credits I got free dental treatment which I would like to continue to get as have a disability with high
dental costs. UC talks of take home pay monthly needing to be £435 or less to qualify for this. Can I pay money
into private pension to keep money around this level or lower. Paid all of my self employed net earnings into pension when under tax credits. Can I continue to do this under universal credit in the managed migration period of 12 months without it having negative consequences.
Thank you for help
Jane
Please Log in or Create an account to join the conversation.
- Gordon
- Offline
Less More
- Posts: 51076
1 month 2 weeks ago #288946 by Gordon
Nothing on this board constitutes legal advice - always consult a professional about specific problems
Replied by Gordon on topic Managed migration from working tax credit to universal credit
J
I am afraid you are going beyond the limits of my knowledge the best I can do is to refer you to the following
www.gov.uk/government/publications/compl...20to%20UC%20Strategy
If you do a search within the document (CTRL+F) for "floor" I think the results will answer your first question.
As to your second, the best I can find is
media.nhsbsa.nhs.uk/news/universal-credi...-free-nhs-healthcare
Follow the link in the document.
Gordon
I am afraid you are going beyond the limits of my knowledge the best I can do is to refer you to the following
www.gov.uk/government/publications/compl...20to%20UC%20Strategy
If you do a search within the document (CTRL+F) for "floor" I think the results will answer your first question.
As to your second, the best I can find is
media.nhsbsa.nhs.uk/news/universal-credi...-free-nhs-healthcare
Follow the link in the document.
Gordon
Nothing on this board constitutes legal advice - always consult a professional about specific problems
The following user(s) said Thank You: Wendy Woo
Please Log in or Create an account to join the conversation.
Moderators: Gordon, Gary, BIS, Catherine, Wendy, Kelly, greekqueen, peter, Katherine, Super User, jimmck, Chris