I am about to be medically retired, and have 3 months paid notice. I am currently not working and on nil pay due to illness.
Are 1. contractural notice pay (that you do not work), and 2. PILON, counted as income for NS ESA purposes?
My employer wants to pay me my three month's notice, month by month over three months. I will not be working during this period. Would this count as income for NS ESA?
It would certainly exceed the permitted work allowance, in money terms, and I am concerned that if notice pay does count as income, getting paid it over 3 months would mean me losing eligibility for ESA and having to reapply.
Would it be better to try to get the 3 month's PILON to be paid in one go, when I am dismissed? If it IS counted as income, this would presumably only impact my ESA for 1 week and not end my eligibility.
Thanks
