Deductions

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alibongo51
alibongo51 Online Community Member Posts: 44 Contributor
edited June 28 in Benefits and income

Hi hope um writing this in the correct place.ive now done the managed migration (was in support group) assumed all these yrs i was on ir esa but i was on both.

My question is,now this is new style esa,will i get deductions from the uc?(ive not been paid yet) i dont understand the P60U form.it says so much is taxable—(less than 7k) but with partial esa payments every 2 wks plus uc(im just assuming what i should be paid from my previous esa(with premium) am i going to lose money?how do i find out how long i have left before my contributions run out? Does it auto get changed over to ir? Or is it start from scratch again? Thank in advance for any help

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  • Ranald
    Ranald Online Community Member Posts: 1,414 Championing
    edited June 27

    You had a mixed ESA claim, i did too and didn't know, just like you. You will have the NS ESA deducted in full from your UC payment.

    Only the IR part of your ESA is ending, the CB part becomes New Style ESA, which you will receive every 2 weeks.

    There is no 'running out' to worry about.

    If you were in the Support Group with SDP, you will get Transitional Protection to make up the difference. If only the Enhanced Premium, I believe you will be better off.

    TP erodes over time - rent or benefit increases, until the point that it is erodes completely.

  • alibongo51
    alibongo51 Online Community Member Posts: 44 Contributor

    Ty for prompt reply,i think i undersrand,i was just worried they going to start deducting tax or something.i havnt worked in years so assumed my contributions wont last forever..yes i think sdp so im hoping my payment from uc will amount to the same or similar to what i was getting paid before.

    Thanks again :) much appreciated

  • worrypot
    worrypot Online Community Member Posts: 9 Listener

    im going through a similar situation ,migrating from esa support group to uc and have recently found out the ive been migrated to esa new style and uc ……payments are from esa new style but topped up by uc………however my protection from being in support group and not having to do reassessment has gone because ive been informed today that i am due a assessment next year….something ive not had in 25 years when i was in support group……….the automatic changing to esa new style and the forced move to uc ,,,,,,,,,,, seems like a convenient way to me to get long term out of work sick …back to assessments and work

  • alibongo51
    alibongo51 Online Community Member Posts: 44 Contributor

    Oh no :( if yr assessment isnt due till next year can they stop your transitional payments? I though it was protected until a change of circumstances? Also it wouldnt surprise me

  • worrypot
    worrypot Online Community Member Posts: 9 Listener

    also ive had a letter informing me that i am suddenly in the contributory esa which means you have paid national insurance contributions ,,how is this possible if i havent worked for 25 years ??the letter also says my income based esa is ending ? this is all a move to get the long term sick to work

  • OverlyAnxious
    OverlyAnxious Online Community Member Posts: 4,673 Championing

    If you had Incapacity Benefit before ESA, then the process works slightly differently for Contributions Based ESA. You do not need the NI Contributions in that case.

    Income Related ESA is ending for everyone this year. That is why there is a final push to migrate everyone on IR ESA to UC before it ends completely.

    IR ESA is automatically replaced with LCWRA element on UC. You will not have to have an assessment for the migration. You could be assessed at any point after migration, as you could on ESA.

  • worrypot
    worrypot Online Community Member Posts: 9 Listener

    ohh thanks for the info😯

  • alibongo51
    alibongo51 Online Community Member Posts: 44 Contributor

    Ty,no i wasnt on the other.thanks for the help, appreciated :)

  • OverlyAnxious
    OverlyAnxious Online Community Member Posts: 4,673 Championing

    There seems to be two threads running together in this one.

    In your case, you will be migrated to New Style ESA at £281.10 each fortnight. And that will be deducted at a rate of £609 a month from UC. There won't be any tax to pay (unless you have other separate earnings as well).

    There is no end date, the contributions don't run out at some point in cases like this. New Style ESA will continue indefinitely - or until the government change it for whatever new Contributions Based benefit they decide on.

    If they do choose to end NS ESA in future, you would just get your full UC payment without any deductions, so it won't make any financial difference in your case.

  • alibongo51
    alibongo51 Online Community Member Posts: 44 Contributor

    Aw yes that make sense now n thanks again,much appreciated.

    Worrypot,i know this is a stressful time for everybody but if you have any questions regarding benefits,can you please make your own posts so i dont get confused ,thanks