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ESA, PIP and private pension lump sum
- Nigel2671
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7 years 9 months ago #163260 by Nigel2671
ESA, PIP and private pension lump sum was created by Nigel2671
Hi - i have recently seperated from my wife and currently renting a room in a house for the time being with a view to finding myself a 1 / 2 bedroom house or flat to rent in the future. I do not work due to ill health and i am in the ESA Support Group contribution based and get PIP daily living component at the enhanced rate. I have looked locally at the 1/2 bedroom flats and houses and nowhere seems to accecpt DSS tenants (have tried 'say yes to DSS but in they are in really rough areas). I have a private pension pot from when i worked for a company 20yrs ago and have recently found out that i could draw down a lump sum of up to £22,000 and the rest as an Annuity. My thought was that i could take the lump sum and offer future landlords 1 or even 2 yr rent upfront, to get round the 'No DSS' problem. My question is: will the lump sum and Annuity affect my ESA, PIP or housing benefit?? A recent conversation with someone at CAB suggested that only my Housing benefit would be affected, but would like a second opinion before i go ahead, Many thanks in advance
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- Gordon
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7 years 9 months ago #163289 by Gordon
Nothing on this board constitutes legal advice - always consult a professional about specific problems
Replied by Gordon on topic ESA, PIP and private pension lump sum
Nigel
PIP is not affected by your income or savings.
If you are only receiving Contribution Based ESA then it is not affect by your savings, however if you opt to take any income from your pension then this must be declared to the DWP, there is an £85 per week disregard followed by a £1 deduction for every additional £2 of pension income.
Housing Benefit affected by your income and savings.
Gordon
PIP is not affected by your income or savings.
If you are only receiving Contribution Based ESA then it is not affect by your savings, however if you opt to take any income from your pension then this must be declared to the DWP, there is an £85 per week disregard followed by a £1 deduction for every additional £2 of pension income.
Housing Benefit affected by your income and savings.
Gordon
Nothing on this board constitutes legal advice - always consult a professional about specific problems
The following user(s) said Thank You: Nigel2671
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- Greendeco13
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5 years 11 months ago #212826 by Greendeco13
Replied by Greendeco13 on topic ESA, PIP and private pension lump sum
This has partially answered a question of mine I'm currently getting contribution based esa and have accessed tax free lump sum of pension.
I've recently taken a draw down of sipp so I'm guessing I need to declare that now.
I've recently taken a draw down of sipp so I'm guessing I need to declare that now.
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