Calculating your income

Summary

Instructions and links to help with calculating your income for applying for benefit

Contact the Benefits team using the online contact form.  

Earned income

Earned income is wages, salaries and other monies from employment and self-employment. In assessing benefit, net income is used, i.e. Gross Pay less Income Tax and National Insurance paid, 50% of any payment to an Occupational or Personal Pension is also deducted.

Disregarded earned income

Where a claim is made by a couple the first £10.00 of earned income is disregarded; in the case of a single person the first £5.00 is disregarded, or in the case of a single parent, £25.00 is disregarded.

Unearned income

Unearned income is all income received which is not from employment; e.g. Child Benefit, Working Family Tax Credit, Incapacity Benefit, Retirement Pension, Occupational Pension (less tax), Job Seekers Allowance (contribution based) etc.

Income support/Job Seekers Allowance (JSA)

If you are in receipt of Income Support/JSA you should qualify for 100% benefit of your eligible rent and 100% Council Tax Benefit. However, a deduction will be made if you have a non-dependent living with you aged 18 years or over (see section 4 on non-dependant deductions).

Capital

The capital of a customer and partner is added together.

Capital exceeding £16,000 means that there is NO entitlement to Housing Benefit or Council Tax Benefit.*

* Certain compensation and Far Eastern Prisoner of War Payments can be disregarded.


Capital under £6,000 is disregarded.


Capital between £6,000 and £16,000 for people aged 60 or above is equivalent to an income of £1.00 per week for each £500 of capital. Capital between £6,000 and £16,000 for persons under 60 is equivalent to an income of £1.00 per week for each £250 of capital.


e.g (Person under 60 years of age): £7,000 capital = £4.00 per week income.

e.g. (Person over 60 years of age) : £7,000 capital = £2.00 per week income.


The amount of interest you actually receive from your capital is not taken into account.

War pensions/war widows pensions

The Authority operates a local scheme whereby an income received from a War Pension/War Widows Pension is disregarded in full.

Information required to verify your income

The Council will do its best to assess your claim within fourteen days, but you can help to speed up the process by providing all the information with your application, this includes:-

Details of your previous five weeks pay (if weekly paid). This can either be done by enclosing your last five weeks pay slips or if (monthly paid) your last two pay slips. Alternatively, you may ask for your employer to complete a certificate of earnings form which is available on request. Self employed customers must provide accounts. More information on Self Employed Claimants.


You will also need to provide proof of any private pension and / or capital.


If the Council are unable to assess a claim from a Private Tenant within fourteen days, an interim payment can be made if the customer has provided all the necessary information.

Click here to see if you qualify.....
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Last updated on: 24 September 2008 | Date of next review: 24 September 2009

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