Wat way does lcwra and my pay work ?

tbone1987

I currently receive 1492 a month from work and im paid weekly wat way does that work coming off my lcwra and wat effect does it have on my housing benefits thanks tim

poppy123456

To be clear as you're claiming UC you will only be claiming housing benefit if you're either living in temporary or supported housing. Otherwise rent will be paid with UC known as housing element. Housing benefit and housing element are completely different.

As you have LCWRA then you'll have the work allowance. This means that you can receive £404/month of earnings before the deductions apply. For every £1/month over that amount your UC will reduce by 55p.

UC entitlement is based on earnings received each month so the more earnings you receive the less UC you're entitled to. The less earnings you receive the more UC you're entitled to.

As you're paid weekly this means that there will be 4 months a year where you will receive 5 weekly earnings which will obviously decrease your UC more in those months.

Based on earnings of £1,492/month this would reduce your UC by £598.40. To work out the deduction you minus the work allowance from your earnings (£1,492 - £404 = £1,088 x 0.55 (for the UC deduction) leaves you with £598.40 deduction from UC.

Rachel_Scope

Hi @tbone1987. Just wanted to say welcome to the community 😊 I hope poppy has answered your question.