Disregards when reporting capital

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robbo2000
robbo2000 Online Community Member Posts: 24 Contributor

I have a total capital of £9000 on the day I need to report.

£2000 of that is income that I received within the period I’m reporting for.

My question is…..

Do I report £9000 and send a journal message stating £2000 of it is income to be disregarded?

OR

Do I report £7000 having taken off the disregards myself?

Comments

  • worried33
    worried33 Online Community Member Posts: 990 Championing

    When reporting it does ask you if there is a back dated benefit payment, so if that is the disregard it will allow you to enter the disregard.

  • robbo2000
    robbo2000 Online Community Member Posts: 24 Contributor

    oh right - thanks for that, I was unaware of this.

    £500 of it is earnings from self employment. Where do I report that as a disregard?

  • OverlyAnxious
    OverlyAnxious Online Community Member Posts: 4,795 Championing

    Hi,

    If you're self employed, you should be declaring your earnings separately from savings.

    For the savings part, only include the savings, without the earnings included.

  • robbo2000
    robbo2000 Online Community Member Posts: 24 Contributor

    yes we declare SE earnings separately every month

    from now on I will report savings but will disregard any earnings or benefits credited to our account for that period

    Is that the correct way to do it?

  • OverlyAnxious
    OverlyAnxious Online Community Member Posts: 4,795 Championing

    Sort of…

    You're not meant to deduct all of the benefits you were paid. You're meant to subtract the monthly outgoings from the benefits, so that you're only left with 'unused' income to deduct.

    For example, if you got £1000 UC, but spent £800 of it on rent & bills, then only £200 is unused income to be deducted. There's no simple way to calculate this, or at least I haven't found one so far.

    But you are correct in declaring the earnings totally separately from the savings.