Eastbourne Citizens Advice Bureau Financial Literacy

1. Eastbourne Citizens Advice Bureau Financial Literacy BENEFITS BENEFITS

2. What are Benefits? Benefits are forms of financial support paid by the state to individuals in need. Who can receive them? Each benefit has its own eligibility criteria which decides who can claim. BENEFITS

3. The Department for Work and Pensions The main government department which deals with benefits is the Department for Work and Pensions (DWP).They have local offices which are sometimes combined with jobcentreplus. These offices deal with queries and applications for benefits. For further information visit www.dwp.gov.uk BENEFITS

4. Welfare Benefits system changes regularly. This brief guide contains information which is applicable from March 2013. It is intended to give a quick outline of the main benefits available. It is not a complete guide to each benefit. Always check the official sources for the latest information. BENEFITS

5. Jobseeker’s allowance  Jobseeker's allowance (JSA) is a benefit for people who are unemployed and are required to be available for work. JSA is the equivalent of what was previously known as unemployment benefit or “the dole”.Who can get it? People who work less than 16 hours per weekYou cannot usually get JSA if you are aged under 18 or over the state pension age. You must be available for work, be actively seeking work, have a valid jobseeker's agreement – you must also attend the jobcentre to sign regularly. You must not be under 19 and in education. How do I claim it? You can complete the application online or over the telephone (visit www.gov.uk for details). You will need to provide certain documentation and attend an interview. How much is it? From April 2013 – Under 25 £56.80 ; 25+ £71.70 – weekly.There are additional amounts depending on your household(these amounts are changed each year – check for the latest figures) Further information Visit www.gov.uk BENEFITS

6. STUDENTS AND JSA Most full-time students cannot claim Jobseeker’s Allowance. In certain circumstances Jobseeker’s allowance can be claimed: If you are single and responsible for a child; If a student is one of a couple, both studying full-time and looking after a child – they may claim JSA during summer vacation if one of the couple is actively seeking work during the summer.If you are waiting to back to your course having taken approved time out because of an illness or caring responsibility which has now come to an end.   If you are studying part-time and you are actively seeking work, you may be able to get JSA. This will also depend on the number of hours you study. For further advice you should consult a student welfare officer or your local jobcentre or DWP office. BENEFITS

7. INCOME SUPPORT Income support is a benefit payable to people aged from 16 to State Pension Age who are on a low income. Who can get it?People aged from 16 to the State Pension Age who are not available for work such as: lone parents, unable to work because you are caring for someone, or registered blindPeople whose partner works more than 24 hours per week cannot usually get Income Support. If they work less than 24 hours per week their earnings affect the amount of income support paid to you.Savings over £6000 affect how much income support you get. How do I claim it? You can complete the application online or over the telephone (visit www.gov.uk for details). You will need to provide certain documentation and attend an interview. How much is it?From April 2013 – 18-24 £56.80per week ; 25+ £71.70 per week.There are additional amounts depending on your household(these amounts are changed each year – check for the latest figures) Further informationVisit www.gov.uk BENEFITS

8. STUDENTS AND INCOME SUPPORT Students under 20 cannot normally claim Income Support if they are in relevant education. This means studying more than 12 hours per week up to ‘A’ level standard. However, you can claim Income Support if:• you are responsible for a child• you have no parents, or you are living away from your parents for reasons of safety or because they cannot support you.• you are a refugee learning English for up to 9 months• you are aged 18 and have recently left local authority care. For further advice you should consult a student welfare officer or your local jobcentre or DWP office. BENEFITS

9. STUDENTS AND INCOME SUPPORT (continued) Students in full time study aged over 19 or studying above ‘A’ level cannot normally get Income Support. However, you may be able to get Income Support if you are:• A single parent or a single foster parent of a child under 7• If, aged under 21, you have no parents, or you are living away from your parents for reasons of safety or because they cannot support you.• A refugee learning English for up to 9 months• From abroad and your money has been temporarily disrupted For further advice you should consult a student welfare officer or your local jobcentre or DWP office. BENEFITS

10. EMPLOYMENT & SUPPORT ALLOWANCE If you are unable to work because of illness or disability you may be able to claim Employment & Support Allowance (ESA). This used to be known as Incapacity Benefit. Who can get it? If you are aged 16 or over and are under state pension ageYou have limited capability for workYou are not entitled to Statutory Sick Pay You are ordinarily resident in the UK You can't get ESA if you or your partner are getting Income Support, income-based Jobseeker’s Allowance or Pension Credit. How do I claim? An initial claim for ESA will usually be made by telephoning Jobcentre Plus. You usually have to prove you cannot work by sending in medical certificates to the Department for Work and Pensions (DWP). Most people will have a face-to-face medical assessment with a healthcare professional to decide if they satisfy the limited capability for work assessment Further information visit www.gov.uk BENEFITS

11. HOUSING BENEFIT Housing Benefit is payable to people living in the UK on a low income to help them pay their rent. If you are receiving Jobseeker’s allowance, Income Support or on a low income you may be entitled to claim Housing Benefit. Who can claim?You must have savings of less than £16,000. You must be the person liable to pay rent.You must not be renting from a close relative How do I claim? Apply to your local Council. You will have to complete a form and provide relevant documents. How much Housing Benefit will I receive? This depends on how much rent you pay, what income you have coming in and where you live. It can also depend on the total amount you get from all benefits. This is known as the Benefit cap BENEFITS

12. STUDENTS AND HOUSING BENEFIT • Most students in full time education cannot claim housing benefit. However, you may be entitled if: • You are receiving income support, income based jobseeker’s allowance or income based Employment Support Allowance. • You are under 19 and on a non-advanced course I.e. below ‘A’ Level • Disabled – qualify for a disability premium • A single parent or a single foster parent • One of a couple, both of whom are full-time students, responsible for a child • Students who qualify, can usually claim Housing Benefit even if they rent their accommodation from their educational establishment. BENEFITS

13. COUNCIL TAX REDUCTION • Council Tax Reduction is a benefit for people on a low income to help them pay council tax. It is paid by your local authority. If you are entitled to Council Tax Benefit, your council tax bill is reduced. • Who can claim? • You must be aged 18 or over, liable for council tax and your income must be low enough • You must have savings of less than £16,000. • Most students don't have to pay council tax, but there are a few situations in which a student may be liable to pay. A student who is liable for council tax can't usually get council tax benefit.How do I claim?Apply to your local Council. You will have to complete a form and provide relevant documents. • How much will I receive?This depends on your council tax liability and your income. Savings between £6,000 and £16,000 will reduce the amount of benefit you receive. BENEFITS

14. WORKING TAX CREDIT • If you are working but on low pay you may be able to claim Working Tax Credit (WTC) to top up your income. You need to be working a specified number of hours. You can claim if you are self-employed. • You may receive extra if: • you are a single parent • you pay for childcare • someone in your household is disabled • you’re over 60How do I claim? • To apply for Working Tax Credit, contact the tax credit helpline for an application pack. The helpline number is 0345 300 3900.You can also find out more info by visiting www.gov.uk BENEFITS

15. CHILD TAX CREDIT Child Tax Credit is a means tested benefit for people with children, whether they are in or out of work. You can get Child Tax Credit if your income is low enough and you are responsible for at least one qualifying child. You do not need to have a very low income to get some help from Child Tax Credit, so most people with children get the credit The amount of Child Tax Credit you get will depend on your circumstances and your income You must be over 16 years old to claim. How do I claim? To apply for Child Tax Credit, contact the tax credit helpline for an application pack. The helpline number is 0345 300 3900You can also find out more info by visiting www.gov.uk BENEFITS

16. UNIVERSAL CREDIT (UC) • Universal Credit (UC) is a new benefit that will eventually replace many existing benefits and tax credits. It is a single benefit that will be paid to you if your income falls below a certain level. UC is means tested, so payment will depend on other money your household has coming in. The higher your income is, the less Universal Credit you'll get • You can claim if your income falls below a certain level and you:- • Are aged between 18 and the age that you can claim pension credit. • Are working - either employed or self-employed • Are unemployed • • Are sick or disabled • Are caring for children or someone who’s disabled Housing Benefit • Have savings under £16000. BENEFITS

17. What will it replace?Universal Credit will eventually replace the following means-tested benefits and tax credits:  •Income Support •Income-based Jobseeker’s Allowance (JSA) •Income-related Employment and Support Allowance (ESA) •Child Tax Credit •Working Tax Credit •Housing Benefit •Some Social Fund payments When will it be introduced?It will be introduced gradually for new claims from October 2013. It's expected that UC will cover all claims in England by 2017. BENEFITS

18. STUDENTS AND UNIVERSAL CREDIT • Students will only normally be able to claim UC if they: • have dependent children • are a foster parent • are a disabled student and meet certain requirements • have a partner who’s entitled to UC • have reached the age for Pension Credit and have a partner who’s entitled to UC • are in non-advanced education, aged 21 or under at the end of the academic year and have no parental support BENEFITS

19. CHILD BENEFIT • Child Benefit is paid to people who have responsibility for a child.A child is: • Someone under 16 • Someone under 20 in full-time education • Someone aged 16-17 who has left school and has and registered for work or training with a qualifying body such as the Careers or Connexions Service • How much will I receive?£20.30 per week for the 1st child£13.40 per week for each additional child(as April 2013) • With effect from January 2013, Child Benefit will still continue to be paid to everyone, but if you're a higher-income family, you'll have to pay extra tax if you choose to keep getting it. The extra tax you pay will effectively cancel out some or all of your Child Benefit • How do I claim? • Complete an application form which you can get from the Child Benefit Office, HM Revenue and Customs (HMRC) Enquiry Centres or Jobcentre Plus offices. The Child Benefit Office number is 0845 302 1444You can download this form from the HMRC website at www.hmrc.gov.uk/childbenefit. BENEFITS

20. DISABILITY LIVING ALLOWANCE Disability Living Allowance (DLA) is payable to people aged under 65 who have personal care needs or difficulty with walking (also called mobility) because of either a physical or mental disability. DLA has two parts, the care component and the mobility componentYou can claim in your own right if you are aged 16 or over.If you are under 16 year old someone else can claim for Disability Living Allowance for you. How much will I get? There are several different amounts for mobility and care. Depending on your circumstances you may receive a combination of these amounts. How do I apply? Telephone the Benefit Enquiry Line run by the DWP on 0800 88 22 00, You can also make a claim for DLA online at the Directgov website at: www.gov.uk. You can also download a claim form from the Directgov website to print off and fill in using a pen. Please note that Personal Independence Payments ( PIP) will be gradually be replacing DLA. This will happen on a phased basis when introduced from April 2013 onwards. BENEFITS

21. PERSONAL INDEPENDENCE PAYMENTS (PIP) Personal Independence Payment (PIP) is intended to help with the extra costs of having a long-term health condition or disability. You can get PIP whether you are in or out of work. This will start to replace Disability Living Allowance from April 2013  PIP will be made up of two parts - a daily living component and a mobility component. You could be entitled to both components. Within each component, there’ll be a standard rate and an enhanced rate. Who can claim? You can get PIP if you have a long-term health condition or disability and are aged between 16 and 64 There are no particular health conditions or disabilities that give you automatic entitlement to PIP. A decision will be made about whether you get PIP depending on your personal circumstances. How do I claim? In order to qualify for either component, you'll need to be assessed by a healthcare professional and score a certain number of points BENEFITS

22. CARER’S ALLOWANCE Carer’s allowance is a benefit paid to people who give regular care to someone who is ill or disabled in their own home. The person you are caring for must be receiving Attendance Allowance or Constant Attendance Allowance or the middle or higher rate of Disability Living Allowance. You can claim Carer’s allowance if you are over 16 years of age and you are not in full time education.You must spend more than 35 hours a week looking after the disabled person.Basic allowance as at April 2013 is £59.75 per week How do I claim? You can claim online at: www.gov.uk/carers, also by phoning the Carer's Allowance Unit on 0845 608 4321. You can collect claim form from local benefit offices. BENEFITS

23. CHANGES OF CIRCUMSTANCES If your circumstances change, such as the amount of money you earn goes up or down you must inform the relevant benefit office. These changes may affect the amount of benefit you are entitled to. BENEFIT FRAUD If you give false or misleading information, or fail to report a change of circumstances that could affect your benefit entitlement you may be committing benefit fraud . If you are paid more benefit than you are entitled to you may have to repay it. Your circumstances can be checked at any time while you are claiming. Benefit fraud is a criminal offence and you can be prosecuted or asked to pay a penalty. If you are being investigated for benefit fraud, your benefit may be suspended. Always make sure that the information you provide for benefit claims is accurate and correct. If your circumstances change remember to inform the office that pays your benefit. If you are unsure whether a change has to be reported ask the office that pays your benefit. BENEFITS