ESA

Cats1817

Morning,

I have questions regarding New Style ESA. I have just made a claim due to refused work via PAYE employment due to multiple disabilities and surgeries.

I have become self employed as this is the only way forward I can see myself working long term. There isn’t alot online about self employment whilst on ESA. I will be paid via self employment on a as and when basis and it could be a few months between payments, would they calculate this annually then divide by 52 weeks so I am not over the £183.50 working allowance? Otherwise I am not sure how they would calculate it?

Another question is the NI contributions towards being able to claim ESA. I should have enough with the current tax year included (April 2024-April 2025) but don’t think I’ll have enough if they don’t count this tax year and only go from previous ones due to time off from multiple surgeries (zero hour contracts so didn’t get paid whilst off). So the question is which tax years do they normally use?

Thanks a bunch! :)

poppy123456

The tax years that apply now are 2022/23 and 2023/24. If you were self employed at that time you would need class 2 NI contributions.

The earnings limit for permitted work is a maximum of £183.50/week. If you earn anymore than that any week there would be no entitlement to ESA.

Have you checked entitlement to Universal Credit? It’s a means tested benefit so if you live with a partner you need to claim as a couple. If you have capital of more than £16,000 you’re excluded from claiming. Use a benefits calculator to check entitlement.

https://www.entitledto.co.uk/benefits-calculator/

Cats1817

Hi Poppy,

I have been employed but always on zero hours so when I have been off sick I haven’t paid NI contributions. Although I have paid NI contributions Class 1 throughout working years but not enough for qualifying years. So I unsure whether I qualify, if I eligible including 2024-2025 tax year then do I reapply in April this year?

I understand this but I don’t know how it works with Self Employment if payments aren’t regular? Would they calculate it as if I earn £9,542 over the year (£183.50 x 52)??

Unfortunately not entitled to UC even with LCWRA due to partners income.

So unless I am eligible for ESA then there is no other work related disability benefit that I can claim??

Thank you.

poppy123456

The tax years do not change for benefit purposes until the first Sunday in January so it’s only just changed to those new tax years. The next change will not be until January 2026.

I’d advise you to apply for NsESA and see what the decision is. You can see the qualifying conditions here https://www.entitledto.co.uk/help/employment-and-support-allowance-contribution-based

For earnings you can’t average them out. Only hours can be averaged. Don’t forget though that when you’re self employed you also need to take into consideration your expenses and deduct them from your earnings.

Cats1817

I have had this come through, is this normal? I do not claim Universal Credit. I have only applied for New Style ESA. I have yet to receive any paperwork. Thank you.

poppy123456

It mentions a journal in that screenshot. Are you 100% sure you applied for ESA and not UC by mistake?

Cats1817

I definitely applied for ESA, unsure what has happened?! Is this normal? Unsure who to contact in regards to this.

poppy123456

Contact the UC helpline. 0800 328 5644