inheritance

alibongo51

hi,im new  to the group .hope im writing in correct place..im in receipt of income related esa support group,and enhanced care pip plus standard mobility.or iwas until i informed dwp i had just received inheritance of £8635..they placed me on contributions esa and took me of suport? until they receive bank statements so they can assess..(informed housing too)and posted statements to both.im worried that they wont put me back on support group.i was under impression that it was£1for every£250 over £6000? is it until the dwp assess the proof then adjust benefit...then put me back on what iwas in receipt of? any advice would be welcome please as im stressing out over this..thanks for reading

poppy123456

Hi,

Were you previously receiving contributions based with an income related top up? They can just take you off Income related and put you on contributions based if you were already claim CB with the income related top up.

Are you receiving any ESA payments at the moment or have they suspended your claim until you send in the bank statements?

Yes you're correct anything £6000 and over affects means tested benefits £1 for every £250 over that amount. Anything over £16000 and your means tested benefits stop.

alibongo51

hi poppy thanks for replying..no it was all income related esa support group.i will still get paid next benefit on wed but only contributions apparently.i did call back but next person gave me a different amount so i guess il just have to wait n see.he did say i should go back on income related once they receive proof and sums have been assessedbut he couldnt say for sure.also would be backdated(minus deductions obvs)

poppy123456

As you're now claiming only contributions based then you must have been claiming that in the first place with an income related top up. It's impossible to change from just an Income related claim to contributions based. If you were claiming all Income related then all of your ESA would have stopped until they receive the proof and not just part of it. You'll still be in the Support Group but you're not claiming the income related top up until you send them the bank statements. I know it's very confusing the way they word things and it confuses a lot of people.

alibongo51

hi no i have letter here,its definately esa income related.thats why i rang back to check first guy hadnt made a mistake(im still sure they have).yes your not wrong,its totaly confusing! where do i find out then do you know  as all letters i have had all say income related 

poppy123456

You'll need to ring ESA and ask but if it's all income related then you most definitely can't go on contributions based.

alibongo51

 i did...twice but both said the same il call again on monday..i was getting severe disability premium too but i dont know exactly whats been taken off till they assess..thanks for help poppy

poppy123456

Were you working before you claimed ESA and paid enough of NI contributions in the previous 2 tax years before you claimed ESA?

alibongo51

i havnt worked since i suffered a stroke in 2010.i received contribution based esa after that but im sure it was for less than a year(i cant remember so far back though)i do recall them saying icould change to income related(which is what i did) and assumed thats what ive been on ever since

poppy123456

This is exactly what i thought. You're claiming Contributions based with an income related top up. This is because you paid enough NI contributions in the previous 2 tax years before you claimed ESA. When you're in the Support Group, CB ESA is paid for as long as you remain in there, it's not paid for just 1 year like it would be if you were in the WRAG. You claim the top up because you live alone and have no other household income. DWP really do word these letters very oddly. You're still in the support group on contributions based. Once they have those bank statements and check the inheritance is what you say it is then your top up will be added again minus the small amount of deduction for the money you have that's over £6000. Hope this helps.

alibongo51

ahh  they certainly do! well that will be a big relief if so.yes inheritance is exact amount and statements posted to both dwp and housing.thank you sooo much for all replies and help,youve been great.much appreciated

poppy123456

Always my pleasure

littleminx72

I am in recipt of ESA means tested plus the enhanced pip, I have just received an inheritance from my Auntie for £12,200, and I have £2,000 in an isa, I'm worried about by the time they adjust my benefits  and do all the relevant checks I might have received my ESA and pip again which would take me over the £16,000, do they stop your benefits while they carry out these checks? I 

poppy123456

littleminx72 said:

I am in recipt of ESA means tested plus the enhanced pip, I have just received an inheritance from my Auntie for £12,200, and I have £2,000 in an isa, I'm worried about by the time they adjust my benefits  and do all the relevant checks I might have received my ESA and pip again which would take me over the £16,000, do they stop your benefits while they carry out these checks? I 

It would have been better to start your own thread because it causes confusion when asking questions on old threads. This thread is almost 5 years old.

The money you receive from your benefits isn't classed as capital until the end of the period it's paid for. For example, for ESA then this is paid every 2 weeks so during that period it's not classed as capital. Same for PIP although it's paid every 4 weeks.

I'm assuming you've already informed them about your savings? Also if you're claiming housing benefit this would be affected. For council tax reduction, all local Authorities have their own rules and some have a maximum savings limit of £6,000 before entitlement to CTR ends.

alibongo51

hi,i was in the same position as you a few years ago..i dont recall them stopping my benefits(but mine wouldnt have been over 16k.i know i had to fill out a change of circumstances and anything over 6k my esa was deducted by nearly a fiver a week i think.(they class it how much interest you would get on such amount ,although i dont know what bank ever pays that amount a week on on savings of 14k..my council wanted to see the last two months bank statements.nothing got deducted from my rent though as was just under 10k.i think i had to show proof a year later too if my memory serves me right

poppy123456

alibongo51 said:

hi,i was in the same position as you a few years ago..i dont recall them stopping my benefits(but mine wouldnt have been over 16k.i know i had to fill out a change of circumstances and anything over 6k my esa was deducted by nearly a fiver a week i think.(they class it how much interest you would get on such amount ,although i dont know what bank ever pays that amount a week on on savings of 14k..my council wanted to see the last two months bank statements.nothing got deducted from my rent though as was just under 10k.i think i had to show proof a year later too if my memory serves me right

It has nothing to do with interest on your savings. It's to do with tariff income. Legacy benefits such as Income Related ESA are reduced by £1/week for every £250 or part there of over over £6,000. If you had savings of £14,000 at the time then your Income Related ESA should have been reduced by £32/week.

alibongo51

hi poppy,i was giving an example,i didnt have 14k,the other person has.i was just going off what my letter said at the time(must dig it out) it said something along the lines of how much interest i would have earned at the end of the year or something..thanks

poppy123456

alibongo51 said:

hi poppy,i was giving an example,i didnt have 14k,the other person has.i was just going off what my letter said at the time(must dig it out) it said something along the lines of how much interest i would have earned at the end of the year or something..thanks

Ah ok i see what's happened now it's because someone posted on your old thread which you posted way back in 2018 and i didn't realise that when you commented. Sorry for the confusion.

alibongo51

its ok,no problem at all xx