Rules re: sporadic earnings on UC

Camellia

Hi,

Is there anyone here with lived experience of doing very limited and sporadic ad hoc work whilst on UC.

I will soon be migrating from irESA to UC and would like to do a small amount of artist modelling work £30 - £50 a time on a very sporadic ad hoc basis. I envisage I will be under the HMRC threshold for declaring (less than £999 over the year).

I hope to get some help with my House Service Charge as an owner occupier of a 1 bedroom flat in place on my ESA, before I migrate over, so that it can hopefully carry on on UC.

My Questions:

What is the definition of self employed for UC purposes?

Can I notify the DWP via my journal using my mobile (do not have a laptop or desktop computer)? or will I need to phone or drop into the Job Centre in person.

Over what period of time are earnings averaged out?

Is there a sudden ‘cliff edge’ whereby earning just a pound or so over could result in my Housing Element HE of UC or Council Tax Reduction being suddenly reduced or removed?

Thanks for any advice or lived experience you may be able to share regarding this.

OverlyAnxious

Hi,

If you do any paid work, then that does count as income for UC.

You will need to notify them that you are working initially and then declare your earnings on the final day of your UC assessment period each month. If you haven't earnt anything that month, you still have to declare £0.

The earnings apply to that assessment period only. They don't get averaged out as with other benefits.

As long as you have a smartphone you can access all parts of the UC journal the same as a tablet or laptop.

If you get Housing Costs then you will get a Work Allowance of £411 each month. You can still earn more than that, but any excess will be deducted at a rate of 55p per £1 from your total UC payment for that month.

Council Tax Reduction is calculated by your local council and they all have different rules for earnings and savings. So you would need to check that with your local council.

Camellia

Thank you overly anxious for your very helpful response. Relieved to find out I will be ok with the UC journal and all with only a smartphone.

The council will not do a calculation or let me know their rules about earned income thresholds for Council Tax Reduction purposes BEFORE I take on any paid work; so would need to apply blind at risk of losing my CTR all together.

I will need to make a freedom of information request

Stickman

I'm confused - on Universal Credit, can I still earn £411 without losing any of my benefit? At the moment I get ESA, PIP and Housing Benefit, but ill be going over to UC soon.

OverlyAnxious

https://forum.scope.org.uk/discussion/comment/1046280#Comment_1046280

For Universal Credit, yes that is correct.

But Council Tax Reduction is managed by your local council, not the DWP. They will have their own rules for earnings and savings.

Stickman

So what is Council Tax Reduction?

OverlyAnxious

https://forum.scope.org.uk/discussion/comment/1046312#Comment_1046312

A discount on council tax for people with a low income.

As you get Housing Benefit currently, you'll probably find that you also get Council Tax Reduction with that, as both are managed by your local council.