ESA and other income

bro58 wrote:

carruthers wrote:

Does the income taken into account for ESA mean household income or personal income only?

Hi C,

It's household income.

See information on this page, and the link within regarding 24 hours working rule for a partner.

www.benefitsandwork.co.uk/forum?func=vie...mit=6&start=12#71526

bro58

Sorry, still struggling with this one. The link you give is about ESA(IR). I was enquiring about payments for ESA(CB)

From previous posts I understand that the rates of contribution-based ESA are also reduced if you have an occupational pension.

Thus - if I have it right - it goes like this.

Take someone (anyone) who is entitled to the Support Group rate, which we'll call £100 a week (to make the maths easy!). They have all the contribution records to get CB-based ESA. Suppose they have an occupational pension of £300+ per week. The calculation goes:

£300- £85 = £215
£215/2 = £107.50

£117.50 would then be deducted from the notional £100 of ESA(CB) at the SG rate, leaving an entitlement to no money at all.

So there is no point someone in that position claiming ESA, regardless of their contribution record or their health. Not even for the first 12 months (taking account of new legislation, which we're assuming will go through.)

Is that correct?

carruthers wrote:

bro58 wrote:

carruthers wrote:

Does the income taken into account for ESA mean household income or personal income only?

Hi C,

It's household income.

See information on this page, and the link within regarding 24 hours working rule for a partner.

www.benefitsandwork.co.uk/forum?func=vie...mit=6&start=12#71526

bro58

Sorry, still struggling with this one. The link you give is about ESA(IR). I was enquiring about payments for ESA(CB)

From previous posts I understand that the rates of contribution-based ESA are also reduced if you have an occupational pension.

Thus - if I have it right - it goes like this.

Take someone (anyone) who is entitled to the Support Group rate, which we'll call £100 a week (to make the maths easy!). They have all the contribution records to get CB-based ESA. Suppose they have an occupational pension of £300+ per week. The calculation goes:

£300- £85 = £215
£215/2 = £107.50

£117.50 would then be deducted from the notional £100 of ESA(CB) at the SG rate, leaving an entitlement to no money at all.

So there is no point someone in that position claiming ESA, regardless of their contribution record or their health. Not even for the first 12 months (taking account of new legislation, which we're assuming will go through.)

Is that correct?

Hi C,

Once a claimant has exhausted their 365 days entitlement of Contributory ESA, any former disregard with respect to OP, ceases.

Therefore any such income from OP, would all then be classed as household income with respect to the means test, and any entitlement to Income Related ESA.

bro58

bro58 wrote:

carruthers wrote:

bro58 wrote:

carruthers wrote:

Does the income taken into account for ESA mean household income or personal income only?

Hi C,

It's household income.

See information on this page, and the link within regarding 24 hours working rule for a partner.

www.benefitsandwork.co.uk/forum?func=vie...mit=6&start=12#71526

bro58

Sorry, still struggling with this one. The link you give is about ESA(IR). I was enquiring about payments for ESA(CB)

From previous posts I understand that the rates of contribution-based ESA are also reduced if you have an occupational pension.

Thus - if I have it right - it goes like this.

Take someone (anyone) who is entitled to the Support Group rate, which we'll call £100 a week (to make the maths easy!). They have all the contribution records to get CB-based ESA. Suppose they have an occupational pension of £300+ per week. The calculation goes:

£300- £85 = £215
£215/2 = £107.50

£117.50 would then be deducted from the notional £100 of ESA(CB) at the SG rate, leaving an entitlement to no money at all.

So there is no point someone in that position claiming ESA, regardless of their contribution record or their health. Not even for the first 12 months (taking account of new legislation, which we're assuming will go through.)

Is that correct?

Hi C,

Once a claimant has exhausted their 365 days entitlement of Contributory ESA, any former disregard with respect to OP, ceases.

Therefore any such income from OP, would all then be classed as household income with respect to the means test, and any entitlement to Income Related ESA.

bro58

Just to add, that any time spent in the support group, does not count towards the 365 day entitlement.

bro58

bro58 wrote:

bro58 wrote:

carruthers wrote:

bro58 wrote:

carruthers wrote:

Does the income taken into account for ESA mean household income or personal income only?

Hi C,

It's household income.

See information on this page, and the link within regarding 24 hours working rule for a partner.

www.benefitsandwork.co.uk/forum?func=vie...mit=6&start=12#71526

bro58

Sorry, still struggling with this one. The link you give is about ESA(IR). I was enquiring about payments for ESA(CB)

From previous posts I understand that the rates of contribution-based ESA are also reduced if you have an occupational pension.

Thus - if I have it right - it goes like this.

Take someone (anyone) who is entitled to the Support Group rate, which we'll call £100 a week (to make the maths easy!). They have all the contribution records to get CB-based ESA. Suppose they have an occupational pension of £300+ per week. The calculation goes:

£300- £85 = £215
£215/2 = £107.50

£117.50 would then be deducted from the notional £100 of ESA(CB) at the SG rate, leaving an entitlement to no money at all.

So there is no point someone in that position claiming ESA, regardless of their contribution record or their health. Not even for the first 12 months (taking account of new legislation, which we're assuming will go through.)

Is that correct?

Hi C,

Once a claimant has exhausted their 365 days entitlement of Contributory ESA, any former disregard with respect to OP, ceases.

Therefore any such income from OP, would all then be classed as household income with respect to the means test, and any entitlement to Income Related ESA.

bro58

Just to add, that any time spent in the support group, does not count towards the 365 day entitlement.

bro58

See this FAQ also with respect to OP disregard. :

www.benefitsandwork.co.uk/forum?func=vie...mit=6&start=24#73339

bro58

Hi C,

Once a claimant has exhausted their 365 days entitlement of Contributory ESA, any former disregard with respect to OP, ceases.

Therefore any such income from OP, would all then be classed as household income with respect to the means test, and any entitlement to Income Related ESA.

bro58

I can see that this is obvious to you, but it is not clear to me:

Is the OP disregarded during the initial 365 days entitlement to Contributory ESA when dealing with a new claim (not a migration from IB)?