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Thread: UC Housing benefit calculation for savings over £6k

  1. #1
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    UC Housing benefit calculation for savings over £6k

    I'm currently applying for Universal Credit. As I understand, if you have any savings or capital of between £6,000 and £16,000, the first £6,000 is ignored. The rest is treated as if it gives you a monthly income of £4.35 for each £250, or part of £250. Does that mean, if for instance I have £8k in savings the potential UC I will be awarded would be reduced by approx £34.8 / month using the following calculation?;

    £2k / (divided by) £250 = 8 x £4.35 = £34.8

  2. #2
    Senior Member nukecad's Avatar
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    That's right, but don't forget that 'part of £250'.

    So £8,000.01 (a penny over £8K) would mean 9x £4.35 to be deducted.
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    Thanks. If my savings were to increase/decrease between now (time of UC application completion) and the time I am awarded UC, am i supposed to update them every time my bank balance fluctuates?? Also, how long do amendments to your circumstances usually take to be reflected on your UC payments after you have notified them?

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    Senior Member nukecad's Avatar
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    UC is set up to cope with fluctuating wages each month so I'd assume it can do the same with fluctuating savings.

    There's seven days built in between the end of your monthly AP and your payment date for them to do any calculations.

    They'll probably want to see your bank statement(s) each month.

    I think that they request on your journal that you upload them, and enable an upload link.
    They are enabling uploads a lot more because Covid means they don't want you at the jobcenter unless absolutely necessary.
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    "There's seven days built in between the end of your monthly AP and your payment"

    Sorry, but whats an "AP"

  6. #6
    Senior Member nukecad's Avatar
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    Quote Originally Posted by JamieJ1 View Post
    Sorry, but whats an "AP"
    In UC it's your monthly "Assessment Period".

    (That has nothing to do with disability or work capability assessments).

    It's simply the monthly period where a UC claimants income, savings, etc. are 'assessed' for that month.

    The AP month (usually) starts on the date you first claimed UC.

    So if you first claimed UC on the 5th of the month then your AP will run from the 5th of each month to the 4th of the next.

    You get paid 7 days after that (on the 12th, or is it the 11th? I'm not clear just how they count the seven days)), to give them time to calculate how much UC you are due for that AP if your income/savings have fluctuated.

    That's why there is all the talk about a '5 week wait' when you first claim UC - 4 weeks for the first AP and another week for the first payment to come.
    Last edited by nukecad; 11-12-20 at 15:53.
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    Ok thanks. So is my income and saving figures something i have to update on the UC portal online by a certain date each month? Even if it stays relatively the same?

  8. #8
    Senior Member nukecad's Avatar
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    They should put a 'to do' on your UC journal if/when they want to see your new balance.
    It should say when they want it by.

    That's why it's important to look at your UC journal regularly. - If you miss a 'to do' then it can affect your UC payment for that month, or maybe even stop it altogether.

    If your balance changes significantly, ie. crosses a £250 limit up or down, then you should tell them even without a 'to do'.
    Last edited by nukecad; 11-12-20 at 15:57.
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