Discussion:
Benefits
(too old to reply)
Iain
2010-10-23 22:23:00 UTC
Permalink
http://www.chorley-guardian.co.uk/chorley/37k-benefits-mum-calls-for.6590167.jp
Has anyone any idea of how she can claim this much?
uk.gov.social-security added

--
Iain
johnmids2006
2010-10-23 23:11:12 UTC
Permalink
Post by Iain
http://www.chorley-guardian.co.uk/chorley/37k-benefits-mum-calls-for....
Has anyone any idea of how she can claim this much?
uk.gov.social-security added
--
Iain
If you go to the entitled to site, you can calculate benefits. I think
I have got it right but it is late and I am tired. But here goes.

Working on the ages of her children and assuming rent is £1000 per
month all met by HB and council tax £1000 per year, then the following
weekly amount comes out:

Child Tax Credits £197-68
Income support £93-45
Council Tax Ben £19-17
Housing benefit £233-33
Child Benefit £60-50

and that comes to £604-13 which is £31,414 per year.

If she also gets DLA at the higher rate on both components, then she
would get £120 per week which would be £6240 per year.

Adding those up comes to £724-13 per week or £37,654.

Any incapacity benefit she gets would be deducted from the income
support, and if she gets more in IB than the IS above, the effect
would be minimal.

So her rent and council tax is probably a little less than the amounts
assumed.

And that is how the figure of about £37k is arrived at.


BUT....................

If she was not disabled, she would not get the DLA and the IS would be
at a lower rate. And she would get about £200 per week less. And that
would take it down to £524.

BUT....................

How does she compare with someoen working on £25k, all other things
being equal.

Suppose she was working on £25k per year gross. With the same rent and
council tax etc. What in-work and universal benefits would she get.

Gross income is £481 per week
Tax £71 per week
NI £41 per week

Net pay £369 per week

BUT

She would get the following in-work and universal benefits

Child Tax Credits £147-05 per week

Housing benefit £136-18 per week

Child Benefit £60-50 per week

making £343.73 per week.

And those benefits plus her take home pay comes to £712-73.

So...............

On benefits and not disabled she would be actually £188 per week worse
off then the net postion of someone earning £25k per year gross.

They have said that the proposed benefit cap will not apply to
disability benefits, so it looks like the cap won't affect her anyway.
Or will it?

The key issue therefore is this.

When the government say they will cap benefits to the net position of
a person on average salary. Do they mean the end result of someone
with the same housing costs, children etc. taking in-work bnefits into
account. Or are they going to compare someone like her with the net
salary of a single person who lives for free with their parents.
BartC
2010-10-24 00:59:18 UTC
Permalink
Post by johnmids2006
http://www.chorley-guardian.co.uk/chorley/37k-benefits-mum-calls-for....
Has anyone any idea of how she can claim this much?
Working on the ages of her children and assuming rent is £1000 per
month all met by HB and council tax £1000 per year, then the following
Child Tax Credits £197-68
Income support £93-45
Council Tax Ben £19-17
Housing benefit £233-33
£1000 per month sounds on the high side for that part of the country.
Post by johnmids2006
How does she compare with someoen working on £25k, all other things
being equal.
Suppose she was working on £25k per year gross. With the same rent and
council tax etc. What in-work and universal benefits would she get.
Gross income is £481 per week
Tax £71 per week
NI £41 per week
Net pay £369 per week
BUT
She would get the following in-work and universal benefits
Child Tax Credits £147-05 per week
Housing benefit £136-18 per week
Child Benefit £60-50 per week
making £343.73 per week.
Someone earns £25K and yet still gets £18K a year in benefits?!

Please, someone at least explain why they get £590 per month housing
benefit!

(I'm starting to understand now why everyone wants to come to this country;
no-one here is allowed to be poor any more...)
--
Bartc
tim....
2010-10-24 10:08:44 UTC
Permalink
Post by BartC
Post by johnmids2006
http://www.chorley-guardian.co.uk/chorley/37k-benefits-mum-calls-for....
Has anyone any idea of how she can claim this much?
Working on the ages of her children and assuming rent is £1000 per
month all met by HB and council tax £1000 per year, then the following
Child Tax Credits £197-68
Income support £93-45
Council Tax Ben £19-17
Housing benefit £233-33
£1000 per month sounds on the high side for that part of the country.
Yup

747 is the limit for that area

tim
Maria
2010-10-24 10:57:28 UTC
Permalink
Post by tim....
Post by BartC
Post by johnmids2006
http://www.chorley-guardian.co.uk/chorley/37k-benefits-mum-calls-for....
Has anyone any idea of how she can claim this much?
Working on the ages of her children and assuming rent is £1000 per
month all met by HB and council tax £1000 per year, then the following
Child Tax Credits £197-68
Income support £93-45
Council Tax Ben £19-17
Housing benefit £233-33
£1000 per month sounds on the high side for that part of the country.
Yup
747 is the limit for that area
What if she has a high mortgage? What is the limit on mortgage payments
these days?
m***@hotmail.com
2010-10-24 11:05:29 UTC
Permalink
Post by Maria
Post by tim....
Post by BartC
Post by johnmids2006
http://www.chorley-guardian.co.uk/chorley/37k-benefits-mum-calls-for....
Has anyone any idea of how she can claim this much?
Working on the ages of her children and assuming rent is £1000 per
month all met by HB and council tax £1000 per year, then the following
Child Tax Credits     £197-68
Income support        £93-45
Council Tax Ben       £19-17
Housing benefit       £233-33
£1000 per month sounds on the high side for that part of the country.
Yup
747 is the limit for that area
What if she has a high mortgage? What is the limit on mortgage payments
these days?- Hide quoted text -
- Show quoted text -
No limit on what someone can pay for their mortgage. However the
government will at best only pay interest up to a certain point
(£100k?) and at a set rate of interest (which can be lower than what
your lender is charging this month). Paying the capital back isn't
their problem.
Oh, and not forgetting it seems like they don't like paying for
remortgages that people have to clear debt - though remortgage to get
essential improvements done and receipts held do still seem to be
paid.

Martin <><
Harry Stottle
2010-10-24 16:28:31 UTC
Permalink
Post by Maria
Post by tim....
Post by BartC
Post by johnmids2006
http://www.chorley-guardian.co.uk/chorley/37k-benefits-mum-calls-for....
Has anyone any idea of how she can claim this much?
Working on the ages of her children and assuming rent is £1000 per
month all met by HB and council tax £1000 per year, then the following
Child Tax Credits £197-68
Income support £93-45
Council Tax Ben £19-17
Housing benefit £233-33
£1000 per month sounds on the high side for that part of the country.
Yup
747 is the limit for that area
What if she has a high mortgage? What is the limit on mortgage payments
these days?- Hide quoted text -
- Show quoted text -
No limit on what someone can pay for their mortgage. However the
government will at best only pay interest up to a certain point
(£100k?) and at a set rate of interest (which can be lower than what
your lender is charging this month). Paying the capital back isn't
their problem.
Oh, and not forgetting it seems like they don't like paying for
remortgages that people have to clear debt - though remortgage to get
essential improvements done and receipts held do still seem to be
paid.

====================================================

Under this new Government, mortgage interest help has been reduced from the
1st. October 2010, from 6..08%, down to 3.63%, so anyone whose mortgage
interest is more than 3.63% will have to find the extra, or they might be in
danger of losing their home.

http://blogs.channel4.com/factcheck/mortgage-interest-payment-help-the-quiet-cut/3982
Maria
2010-10-24 17:47:03 UTC
Permalink
Post by m***@hotmail.com
Post by johnmids2006
Post by tim....
Post by BartC
Post by johnmids2006
http://www.chorley-guardian.co.uk/chorley/37k-benefits-mum-calls-for....
Has anyone any idea of how she can claim this much?
Working on the ages of her children and assuming rent is £1000 per
month all met by HB and council tax £1000 per year, then the
following
Post by tim....
Post by BartC
Post by johnmids2006
Child Tax Credits £197-68
Income support £93-45
Council Tax Ben £19-17
Housing benefit £233-33
£1000 per month sounds on the high side for that part of the country.
Yup
747 is the limit for that area
What if she has a high mortgage? What is the limit on mortgage payments
these days?- Hide quoted text -
- Show quoted text -
No limit on what someone can pay for their mortgage. However the
government will at best only pay interest up to a certain point
(£100k?) and at a set rate of interest (which can be lower than what
your lender is charging this month). Paying the capital back isn't
their problem.
Oh, and not forgetting it seems like they don't like paying for
remortgages that people have to clear debt - though remortgage to get
essential improvements done and receipts held do still seem to be
paid.
====================================================
Under this new Government, mortgage interest help has been reduced from
the 1st. October 2010, from 6..08%, down to 3.63%, so anyone whose
mortgage interest is more than 3.63% will have to find the extra, or
they might be in danger of losing their home.
http://blogs.channel4.com/factcheck/mortgage-interest-payment-help-the-quiet-cut/3982
That's us stuffed if hubby gets made redundant then - ours is 6%.
Mr Pounder
2010-10-24 18:24:07 UTC
Permalink
Post by Maria
Post by m***@hotmail.com
Post by johnmids2006
Post by tim....
Post by BartC
Post by johnmids2006
http://www.chorley-guardian.co.uk/chorley/37k-benefits-mum-calls-for....
Has anyone any idea of how she can claim this much?
Working on the ages of her children and assuming rent is £1000 per
month all met by HB and council tax £1000 per year, then the
following
Post by tim....
Post by BartC
Post by johnmids2006
Child Tax Credits £197-68
Income support £93-45
Council Tax Ben £19-17
Housing benefit £233-33
£1000 per month sounds on the high side for that part of the country.
Yup
747 is the limit for that area
What if she has a high mortgage? What is the limit on mortgage payments
these days?- Hide quoted text -
- Show quoted text -
No limit on what someone can pay for their mortgage. However the
government will at best only pay interest up to a certain point
(£100k?) and at a set rate of interest (which can be lower than what
your lender is charging this month). Paying the capital back isn't
their problem.
Oh, and not forgetting it seems like they don't like paying for
remortgages that people have to clear debt - though remortgage to get
essential improvements done and receipts held do still seem to be
paid.
====================================================
Under this new Government, mortgage interest help has been reduced from
the 1st. October 2010, from 6..08%, down to 3.63%, so anyone whose
mortgage interest is more than 3.63% will have to find the extra, or
they might be in danger of losing their home.
http://blogs.channel4.com/factcheck/mortgage-interest-payment-help-the-quiet-cut/3982
That's us stuffed if hubby gets made redundant then - ours is 6%.
Can we just agree that this woman is obviously a sluttish dole claiming
wanker.

Mr Pounder
Just About
2010-10-24 19:26:44 UTC
Permalink
Post by Mr Pounder
Post by Maria
Post by Harry Stottle
http://blogs.channel4.com/factcheck/mortgage-interest-payment-help-the-quiet-cut/3982
That's us stuffed if hubby gets made redundant then - ours is 6%.
Can we just agree that this woman is obviously a sluttish dole claiming
wanker.
Mr Pounder
You don't like women much do you? Screaming Witch soon sorted you out
though didn't she? lol



--
Mr Pounder
2010-10-25 15:05:27 UTC
Permalink
Post by Just About
Post by Mr Pounder
Post by Maria
Post by Harry Stottle
http://blogs.channel4.com/factcheck/mortgage-interest-payment-help-the-quiet-cut/3982
That's us stuffed if hubby gets made redundant then - ours is 6%.
Can we just agree that this woman is obviously a sluttish dole claiming
wanker.
Mr Pounder
You don't like women much do you? Screaming Witch soon sorted you out
though didn't she? lol
Nothing sexist about my posting and don't be silly about Joanna.

Mr Pounder
Post by Just About
--
Harry Stottle
2010-10-24 20:19:32 UTC
Permalink
Post by Maria
Post by Harry Stottle
Under this new Government, mortgage interest help has been reduced from
the 1st. October 2010, from 6..08%, down to 3.63%, so anyone whose
mortgage interest is more than 3.63% will have to find the extra, or
they might be in danger of losing their home.
http://blogs.channel4.com/factcheck/mortgage-interest-payment-help-the-quiet-cut/3982
That's us stuffed if hubby gets made redundant then - ours is 6%.
They say the reason behind this is because interest rates have fallen, but
they have conveniently forgotten to adjust the tax they impose on savings
for someone on benefits, which if I remember correctly is, for those under
60, a £1 a week reduction in benefits for every £250 in savings they hold
above £6,000, this is equivalent to assuming that these people are earning
20% interest on their savings. For peple over 60, again if I remember
correctly, this changes to a £1 a week reduction in benefits for every £500
in savings above £10,000, this is equivalent to assuming that people over 60
are earning 10% interest on their savings.

Now if this new Government want to make adjustments in payments because
interest rates have fallen, fair enough, but lets have this principal
applied to savings as well, A quick calculation with the new lower interest
rates gives an approximate new reduction in benefits of 10p per week for
every £250 held in savings above £6,000 for the under 60's, and a 10p per
week new reduction in benefits for every £500 held in savings above £10,000
if 60 or over, I wonder when will we see this implemented?
m***@hotmail.com
2010-10-25 06:08:56 UTC
Permalink
Post by m***@hotmail.com
Post by johnmids2006
Post by tim....
Post by BartC
Post by johnmids2006
http://www.chorley-guardian.co.uk/chorley/37k-benefits-mum-calls-for....
Has anyone any idea of how she can claim this much?
Working on the ages of her children and assuming rent is £1000 per
month all met by HB and council tax £1000 per year, then the
following
Post by tim....
Post by BartC
Post by johnmids2006
Child Tax Credits £197-68
Income support £93-45
Council Tax Ben £19-17
Housing benefit £233-33
£1000 per month sounds on the high side for that part of the country.
Yup
747 is the limit for that area
What if she has a high mortgage? What is the limit on mortgage payments
these days?- Hide quoted text -
- Show quoted text -
No limit on what someone can pay for their mortgage. However the
government will at best only pay interest up to a certain point
(£100k?) and at a set rate of interest (which can be lower than what
your lender is charging this month). Paying the capital back isn't
their problem.
Oh, and not forgetting it seems like they don't like paying for
remortgages that people have to clear debt - though remortgage to get
essential improvements done and receipts held do still seem to be
paid.
====================================================
Under this new Government, mortgage interest help has been reduced from
the 1st. October 2010, from 6..08%, down to 3.63%, so anyone whose
mortgage interest is more than 3.63% will have to find the extra, or
they might be in danger of losing their home.
http://blogs.channel4.com/factcheck/mortgage-interest-payment-help-th...
That's us stuffed if hubby gets made redundant then - ours is 6%.- Hide quoted text -
- Show quoted text -
Wow, and I thought my self certification mortgage was bad at 4.8%.

Martin <><
Phister
2010-10-25 08:05:55 UTC
Permalink
Yes I think mortgage interest payments changed after the last recession
(~1992), when there was an outcry over an unemployed guy getting his
interest paid on a £2 Million mortgage.
--
DNA signature encryption key........
ATTGGTGCATTACTTCAGGCTCT
AlanG
2010-10-25 10:10:03 UTC
Permalink
Post by m***@hotmail.com
That's us stuffed if hubby gets made redundant then - ours is 6%.- Hide quoted text -
- Show quoted text -
Wow, and I thought my self certification mortgage was bad at 4.8%.
The first one we had was at 15.75%. The next was 9%.
A friend of mine had one for over 17%
johnmids2006
2010-10-24 12:41:56 UTC
Permalink
Post by tim....
Post by BartC
Post by johnmids2006
http://www.chorley-guardian.co.uk/chorley/37k-benefits-mum-calls-for....
Has anyone any idea of how she can claim this much?
Working on the ages of her children and assuming rent is £1000 per
month all met by HB and council tax £1000 per year, then the following
Child Tax Credits     £197-68
Income support        £93-45
Council Tax Ben       £19-17
Housing benefit       £233-33
£1000 per month sounds on the high side for that part of the country.
Yup
747 is the limit for that area
tim
Those figures were guesses based on the comments of others. The
calculation already produced a figure of £600pa more than she gets, so
taking that and the rent issue together you would be talking about £46
per week coming from somewhere else. She might be getting other
disabled benefits.

I think the key issue, though, is that a single parent with four
children on £25k gross and living in comparable rented accomodation,
would be getting various benefits which are approaching doubling their
take-home pay.

And that is the point I am making. When they say that they will cap
benefits to the net position of someone working on a particular
salary, does that look at someone in the same circumstances and
include the in-work benefits they get, or are they saying that the
benefits will be capped to the net salary of someone on everage
earnings who is single and pays no rent or council tax etc.
Nigel Oldfield
2010-10-24 08:49:45 UTC
Permalink
Post by johnmids2006
When the government say they will cap benefits to the net position of
a person on average salary. Do they mean the end result of someone
with the same housing costs, children etc. taking in-work bnefits into
account. Or are they going to compare someone like her with the net
salary of a single person who lives for free with their parents.
Good analysis.

WM
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