Working with LCWRA

roof127
roof127 Online Community Member Posts: 7 Connected
in Benefits and income

Hi I’m due to start a new job very soon and I’m also on LCWRA PIP UC and the housing element. I’m well aware when I got the job I’d come off UC, however I’ve had some on and off advice about still being entitled to UC. I will be earning 24800 a year. So I’m wondering if anyone can help if I will be still entitled to UC or not? It’s just so I can budget my wages properly. Also my job is an office job. It doesn’t go against anything I’m on LCWRA for which is mainly for mental illness and my office is a very disability confident employer so they have already asked about adjustments etc. I also got the job through a local scheme which I got referred to through my mental health practitioner and the fact I’ve got a job like I have is amazing in itself. I just don’t want to over claim. I also do not have children.

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  • Kimi87
    Kimi87 Online Community Member Posts: 8,414 Championing

    You can try a benefits calculator, to see if there is any entitlement to UC after deductions for your wages. The deduction starts at £411.

    With LCWRA you have what's known as a work allowance. This is the amount of money you can earn a month before UC make their standard deduction of 0.55p for every pound earned.

    As you claim Housing Element this is £411.

    https://www.gov.uk/benefits-calculators

  • Emilee
    Emilee Online Community Member Posts: 339 Empowering

    @roof127 You can work full time and still claim LCWRA and it is possible you will still have an award after deductions for your wages, especially if your rent is high.

    If your monthly take-home pay (after tax and National Insurance) on a salary of £24,800 is around £1,780, this is how Universal Credit would be affected:

    First, the work allowance is applied. As you claim housing support this is £411, this leaves £1,369 of earnings taken into account for UC (£1,780 − £411).

    Universal Credit is then reduced by the earnings taper rate of 55p for every £1 earned above the work allowance.

    £1,369 × 0.55 = £752.95

    This means your TOTAL Universal Credit award would be reduced by £752.95 for that month due to your earnings of £1,780.

    Without knowing how much you currently receive or details such as whether you will pay into a pension scheme I can't give exact numbers but the details above are for the average person on a salary of £24,800.

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