Carers payments and UC

goldie213

Can I ask any body what would happen financially if I took in a lodger who receives PIP and LCWRA  and is a vulnerable care leaver. And rent a room to her as I am a person who lives alone and cares for a person who lives at a different address I receive carers allowance at 76.75 a week and I get £137 UC a month. Total 469.50 a month. I know my 25% council tax reduction would go but would it benefit me financially to have a lodger or would I be worse off. And lose any other money. I was considering it as I cannot survive now . 

poppy123456

Rent from a lodger will not affect your UC.

Your UC amount seems rather low. Do you own or rent your home? Does your UC include the carers element? I note you're claiming carers allowance but this is just deducted in full from any UC entitlement.

goldie213

I have a Morgaged house
sorry I forgot repayments so below may help, 
my entitlement is £386.74
carers £185.86
total £554.60
money deducted
-332.58 carers allowance
-29 advance budget loan
-59.31 as they paid me universal credit while I was waiting for carers to approve so when  carers paid me a lump sum back pay. UC wanted it back so deduct it from UC at 59.31 a month leaves  £ 133.71 so I pay back £88.31. I did say to universal credit that they still had to pay me untill carers came through. And I had informed them that I had applied for carers allowance as I was caring they never said I would get carers back paid  and I had to pay it back if they had stopped my universal credit I would of had nothing to live on for months till payment for carers was processed. I argued that when I told them I was caring and was advised my lady at job centre to apply for carers. Surely they should have told me then. That they will want all there money back as not entitled to it. Or would they stop paying me and leave me with nothing to live on for months till it came through. Either way I wouldn’t have survived with nothing till money came through. And I would have thought carers would contact UC and pay them back themselves. And they should of told me when I informed them I had become a carer they informed me to claim carers but didn’t say you got to pzz as y it back as your running up a debt. I appealed but had to pay it back even though I said when I told them I was caring  they should of told me UC had to be paid back not let me carry on a have a debt to repay. 

poppy123456

Carers allowance and UC do not communicate. When claiming UC you do not need to claim carers allowance to be entitled to carers element. This is because carers allowance is just deducted in full and there's no financial gain to claiming it.

Yes, there's usually an overpayment of UC when you claim carers allowance for the first time. This is because it's deducted in full, if it wasn't then you would be receiving that money twice.

No point challenging the decision because it's correct that you owe UC the money that carers allowance owed you. I agree it would be easier for carers allowance to pay UC directly but unfortunately that doesn't happen for UC.

goldie213

Thank you poppy. It’s definately for any carer to survive by the sound of it. Even with carers £332.58 carers allowance and £222.02 full UC total £554.60 a month income is a struggle I pay £2 a day to travel to my gentleman house which is £56 on bus fare. I only have less than £500 a month to live on. If I took in z as lodger my council tax discount would go up and by 25%   £44.75 a month. And then would they deduct council tax for low income as I would be receiving £500 a month rent so total income would be £1054 with rent UC and carers. But council tax would increase by 25% and then they would be taking my rent and benefits into account so council tax would rise so would I be no better off as my energy bills I suspect would increase also with another person here

poppy123456

I'm afraid i can't advise about council tax reduction because all local Authorities have their own rules. Other than you would lose the 25% single person discount. (which isn't council tax reduction anyway)