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Occupational pension and ESA
- princess1
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12 years 8 months ago - 12 years 8 months ago #88678 by princess1
Occupational pension and ESA was created by princess1
Hi,
I am in receipt of (IR) ESA and currently have an Ill-health
retirement pension in process ,which when successful, will
give me a very small monthly amount and also a small lump sum.
How will this affect my benefit ? I have searched as above but
could not find any relevant info. to my query. I searched the
.gov website and read that you could have savings up to £16,000
would this lump sum be classed as a saving?
Many thanks as always for any help.
Princess1
I am in receipt of (IR) ESA and currently have an Ill-health
retirement pension in process ,which when successful, will
give me a very small monthly amount and also a small lump sum.
How will this affect my benefit ? I have searched as above but
could not find any relevant info. to my query. I searched the
.gov website and read that you could have savings up to £16,000
would this lump sum be classed as a saving?
Many thanks as always for any help.
Princess1
Last edit: 12 years 8 months ago by Gordon.
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- gillyk59
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12 years 8 months ago - 12 years 8 months ago #88679 by gillyk59
Nothing on this board constitutes legal advice - always consult a professional about specific problems
Replied by gillyk59 on topic Re: Occupational pension and ESA
As I understand it your lump sum would be classed as savings for the purpose of IR ESA and your pension would be taken into account when calculating your ESA IR entitlement.
Nothing on this board constitutes legal advice - always consult a professional about specific problems
Last edit: 12 years 8 months ago by Gordon.
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- Gordon
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12 years 8 months ago #88680 by Gordon
Nothing on this board constitutes legal advice - always consult a professional about specific problems
Replied by Gordon on topic Re:Occupational pension and ESA
Princess
There are two issues;
First you pension may be treated as income and deducted £ for £ from your ESA(IR).
Secondly, your lunp sum may be treated as capital, you are allowed to have £6000 without penalty, above this there is a deduction of £1/w for every £250 in excess of the £6000 up to a maximum of £16,000.
You will need to get face to face advice froma suitable advisor at your local CAB or Welfare Rights office, to determine whether your pension will be effected by these rules.
Gordon
There are two issues;
First you pension may be treated as income and deducted £ for £ from your ESA(IR).
Secondly, your lunp sum may be treated as capital, you are allowed to have £6000 without penalty, above this there is a deduction of £1/w for every £250 in excess of the £6000 up to a maximum of £16,000.
You will need to get face to face advice froma suitable advisor at your local CAB or Welfare Rights office, to determine whether your pension will be effected by these rules.
Gordon
Nothing on this board constitutes legal advice - always consult a professional about specific problems
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- princess1
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12 years 7 months ago #88683 by princess1
Replied by princess1 on topic Re:Occupational pension and ESA
Hi Gordon, Many thanks for your response. I had thought about the
CARF in our local area and will do just that. Is the deduction of the
excess in capital a one of deduction or does it affect each monthly payment
thereafter ?
Thks/
CARF in our local area and will do just that. Is the deduction of the
excess in capital a one of deduction or does it affect each monthly payment
thereafter ?
Thks/
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- princess1
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12 years 7 months ago #88686 by princess1
Replied by princess1 on topic Re: Occupational pension and ESA
Thks. Izzy 1010 Its , as always, difficult to wade your way through the
amounts of rules and regulations and apply them to your own circumstances.
I have now reached the conclusion that no matter who you approach within these government offices with any query, there is no consistency. I like to be armed now with as many alternatives and as much knowledge as possible
kind regards
amounts of rules and regulations and apply them to your own circumstances.
I have now reached the conclusion that no matter who you approach within these government offices with any query, there is no consistency. I like to be armed now with as many alternatives and as much knowledge as possible
kind regards
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- bro58
12 years 7 months ago - 12 years 7 months ago #88689 by bro58
Replied by bro58 on topic Re:Occupational pension and ESA
princess wrote:
Hi P,
Any excess in your capital, (including "the lump sum") over the £6000, will be deducted weekly from any IR ESA that you may be entitled to. e.g. if you had £10,000 in capital, that would be £4,000 in excess of the £6000 allowed, therefore you would have a weekly deduction of £16 from any IR ESA that you may be entitled to. (£4,000 excess, £1 deducted for every £250, £4000 devided by £250 = 16 x £1 = £16)
So it is not a one off deduction it is deducted weekly.
Of course if your capital or assets exceed £16,000, you would not be entitled to any IR ESA.
Hope this helps.
bro58
Hi Gordon, Many thanks for your response. I had thought about the
CARF in our local area and will do just that. Is the deduction of the
excess in capital a one of deduction or does it affect each monthly payment
thereafter ?
Thks/
Hi P,
Any excess in your capital, (including "the lump sum") over the £6000, will be deducted weekly from any IR ESA that you may be entitled to. e.g. if you had £10,000 in capital, that would be £4,000 in excess of the £6000 allowed, therefore you would have a weekly deduction of £16 from any IR ESA that you may be entitled to. (£4,000 excess, £1 deducted for every £250, £4000 devided by £250 = 16 x £1 = £16)
So it is not a one off deduction it is deducted weekly.
Of course if your capital or assets exceed £16,000, you would not be entitled to any IR ESA.
Hope this helps.
bro58
Last edit: 12 years 7 months ago by bro58.
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