UC Income > Capital Calculation
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haha 1% loss in 60+years i can live with that
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I've had different advice on this from two very trustworthy sources so will just have to try it myself and see what happens next.
I have now seen the page to update savings on UC. Unfortunately it still asks for the exact amount in each bank account on that day. There is nowhere to disregard the COLs. And there is nowhere to disregard the 'income' that has not been spent from the most recent UC payments. So while my earlier calculation was technically correct, it's not actually useful for UC declaration.
I will put the exact amounts in each account and then remind them that the COLs should be disregarded through a journal message. Hoping that they manually calculate it after that, but also keep the account figures on record so my declaration matches the account figures if they ask for bank statements in future.
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I will have to do this myself next month probably can you let me know if they request bank statements
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hi there just wanted to ask when you go the savings declaration page does it ask you for exact amount in each bank account? They must have changed how to declare as when I declared mine it didn’t ask for amounts in each bank account just an overall amount 🧐
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Hi, yes it first asked for the exact amount in the main current account where UC is paid. Then asked about the exact amount in any other current accounts and savings accounts separately on following pages, including part of the account number on each one. That is the same as it was when I started my UC claim a few months ago. It may have been different in the past.
So far it has just been automatically deducted from my next statement amount, no-one has manually disregarded any of it and I haven't been asked for bank statements. Honestly, I'm not really up for the 'fight' with it, so will probably just leave it. But obviously it's not really correct and I don't want to advise you to do the same.
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ok thanks for info 😊
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I am confused. It reports online that on the last day of your AP, you add up everything in all accounts, deduct PIP, DLA, UC and any wages because none of this becomes capital until the next AP and only what was unspent gets carried over. This makes sence to me and looking online the majority agreed. However, I asked UC and they contradicted this ( which also contradicts what UC says online, I was told, no, add up everything including any benefits such as PIP. But PIP is entirely seperate and supposed to be disregarded in calculating. So, did UC mean that they deduct pip when they recieve the info from me? Totaly confused!
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UC Journal/helpline staff often give out incorrect information, they do little more than read from a call centre screen.
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The part that often confuses people is that only UNSPENT income can be disregarded.
On the last day of your AP you will have had 3 weeks to spend a lot of that months UC payment. So for that reason you can't just deduct the entire UC payment, as most of that is NOT unspent by the final day.
PIP being paid every 4 weeks makes this calculation virtually impossible. I can say with certainty that UC will not deduct PIP from an online savings declaration. The UC review staff might deduct it if it was paid very close to the end of your UC AP with nothing spent since receiving it. But they're unlikely to deduct it otherwise. It does seem that all earnings from work are being deducted by the review staff.
Unfortunately it is more complicated than it should be. I don't think all these separate benefits and payment dates were considered when it was being decided how UC capital would be calculated. Now we just have to try and make the best of a bad system.
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Well it states online PIP is disregarded in the total amount. What ever amount you have go into your account on say the first month of UC AP is not classed as capital. Its only capital if it remains in your account or any unspent amount remains in the next assesment period. If they do not deduct pip they are in breach of their own rules. Income and capital a seperate things and you are supposed to be assesed on the capital.
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That is just an AI overview. Please don't rely on that for anything important.
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If you look the goverment symbol is linked to that explanation in top right. So its supposed to have taken it from there as well.
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Yes, as well as 8 other places. I have seen several incorrect conclusions made by Google AI. It is useful for a quick check, but should always be double checked and never relied upon.
Anyway, the reason you can't fully deduct PIP is quite simple. If you start with £0 capital. Get paid £500 PIP income. Spend £300. At the end of the AP you've got £200 total. £200 minus the £500 income = -£300 capital. (Less than 0). It just doesn't work mathematically.
We have seen proof that the review teams don't deduct UC income when doing reviews. Unfortunately the screenshot didn't specifically say PIP as well, so I can't say for sure whether they ever deduct that or not until we are provided with more evidence directly from a UC staff member.
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Yes, I have checked our previous UC statement and you are correct. Pip is not deducted. How they work it out is on how much your living allowance is as a couple or single person, plus any benefit you are entitled to Housing etc. Then they show you the Total UC you will be payed. Then below how they work out the deductions. The first £6000 of any savings is ignored and anything over that is reduced by £4.35 for every £250 or part of over the £6000 amount. So as you say. Everything is added up over the AP. They make their calculation on how much UC you receive based on that and no PIP or benefits received that month is deducted from their calculations
So many websites are reporting it all wrong and making people believe they have to deduct PIP wages etc from their calculations for the month on the understanding its not capital until it rolls over to the next month. This means come review day these people calculating incorrectly will be shocked if they have a large repayment bill.
Thanks for clearing that up.
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