Esa Permitted work overpayment

Kate806

Hi all, I’m just trying to get some info / help for my brother last month he started permitted work he is in receipt of esa he done less then 16 hours every week, he earnt last month £435 …this month he added up that he’s money worked work out at £667, but when he has logged in to he’s banking today he’s been paid 677 which is £10 over the limit upon speaking to he’s boss he said he was owed it from last month. He is worrying what to do as obviously he has gone over even though it’s not a lot. Should he call ESA and explain what’s happened as he hasn’t gone over the hours a week , any help would be appreciated thank you 

poppy123456

My calculations say he hasn’t gone over the earnings limit, which is £167/week or £723/month. If his earnings were £677 then that works out as £156/week, which is less then the maximum amount allowed. There’s nothing to worry about here.

You can see the earnings limit here https://www.gov.uk/government/publications/employment-and-support-allowance-permitted-work-form/permitted-work-factsheet#:~:text=If%20you%20have%20a%20disability,than%2016%20hours%20each%20week

Kate806

Hi poppy thanks so much for the reply, although when I calculated 167 by 4 weeks that worked out as £667 a month … so that’s why he is worrying as it does seem it’s gone over just a touch with them paying the extra that was owed from last month. 

poppy123456

Is he paid monthly or 4 weekly?

Kate806

It’s monthly 

Kate806

He was paid the 29th last month £400.96 and today he’s checked and been paid 677 should of been 667 but they said they owed him a tenner from last month 

poppy123456

Then this confirms my calculation is correct. There's more than 4 weeks in a month so calculating 4 x £167 does not give you the monthly figure. To calculate the monthly figure you times the weekly amount by 52 and then divide by 12... so £167 x 52 = £8,684 divided by 12 = £723.66/month. Therefore, he has nothing to worry about.

Kate806

Oh right sorry I’m not good at all those things. Really appreciate your help means a lot I will let my brother know he’s been panicking all day 

poppy123456

You're welcome. It's easy to think that there's only 4 weeks in a month, many people think the same.

Albus_Scope

Heya @Kate806, I can see you've had some excellent help already, but I just wanted to welcome you to the community.  

Is there anything else you needed help with? If not, I can recommend the Coffee Lounge category if you just fancied unwinding for a bit with some games.