ESA Confusion

calcotti

Had a quick look at that information. It's incredibly badly written and, frankly, some of the information is simply wrong and other parts are misleading. The bit on savings indicates that the author doesn't understand what they are writing about. The whole piece is full of factual errors, not least in talking about monthly ESA payments and the savings limits for pensioners (who can't claim ESA anyway).

The person who posted that information is thoroughly irresponsible in my opinion.

My advice would be to ignore what you have read on that page and, if that's representative of other information on the site, ignore anything else you read on it too. A reminder to consider carefully the source of information.

(I appreciate that you know nothing about me and will have to take a view about whether or not to trust what I say too.)

Tonawanda17

Hi Calcotti. 
I'm sorry if i confused anyone. There seems to be some bad information out there.

Thanks

Bailey

poppy123456

Just read that link and wow. It says "if you're in the work group then savings do not affect it" "if in Support Group your savings affect it." That's not exactly correct.

The savings deductions on ESA is also incorrect. There's a £1 deduction for every £250 or part there of over £6,000 and not a £4.35 deduction, as it suggests. ESA is a weekly benefit paid fortnightly.

I'm not at all surprised you got confused after reading that link.

calcotti

poppy123456 said:

Just read that link and wow. 

It is appallingly bad and muddled isn't it! Some of it just plain wrong and much of it badly written in such a way as to be confusing/misleading.
The author is described as "Fully qualified CISI Investment adviser". It is oft remarked that financial advisers of various kinds are not very good at understanding benefits and I certainly wouldn't take benefits advice from one.

Tonawanda17

Hi 
One more question. My parents are thinking of giving me inherritance early. I would maybe buy a house to rent out. If i do this would the inherritance or the rental income effect my esa?

Thanks again

Bailey

poppy123456

A financial adviser would be the last person i'd go to for benefits advice.

calcotti

Tonawanda17 said:

Hi 
One more question. My parents are thinking of giving me inherritance early. I would maybe buy a house to rent out. If i do this would the inherritance or the rental income effect my esa?

An inheritance/owning a house you do not live in would not affect contribution based ESA. It would end entitlement to any income based ESA.

Tonawanda17

Hi calcotti.

Thanks very much. I can't thank you all enough for putting my mind at ease.

Bailey

Tonawanda17

Hi
I do permitted work. Would the inherritance be added to my permitted work earnings which would take me over the PW earnings limit? Would this effect my esa
Thanks

Bailey

calcotti

An inheritance is not earnings and has no impact on Permitted Work rules.

Tonawanda17

Thanks very much

Bailey

Tonawanda17

Hi

Are old style contribution based esa and "new" style esa almost identical? Is the only difference that you can't get Income top ups added to "new style"?

Thanks

Bailey

calcotti

Tonawanda17 said: Are old style contribution based esa and "new" style esa almost identical? Is the only difference that you can't get Income top ups added to "new style"?

Yes. Two differences however are that on new style ESA the claimant has to sign a claimant agreement and I think that on new style ESA any overpayments are recoverable by DWP even if the overpayment is the result of official error.

Tonawanda17

Hi. I got a letter in April telling me how much esa I would get. I was checking it today and am confused by the last part stating that they would pay me this between 6th April and 15th December.
what’s confusing me is why december?

thanks

poppy123456

Tonawanda17 said:

Hi. I got a letter in April telling me how much esa I would get. I was checking it today and am confused by the last part stating that they would pay me this between 6th April and 15th December.
what’s confusing me is why december?

thanks

That's because at least part of your ESA is contributions based. This will entitle you to the Christmas bonus of £10. The qualifying week for this is first full week of December so for that 1 week your ESA will increase by £10. After that it will revert to your usual amount.

As you're in the Support Group this is an ongoing award and continues for as long as you remain entitled to it, it doesn't have an end date.

Just to add further, this confuses and worries a lot of people who's ESA is contributions based/New style or part contributions based.

Tonawanda17

Hi, thanks very much for your reply. Yes, i am in the support group and 100% contribution based (No top ups).  I checked the wording again and the last part of the letter says "the amounts on this page apply from 15th  april 2023 to 1st december 2023. Yours sencerley, Manager" Does this still make sense to you?

You are right in saying the wording of most of these things is very confusing. Thanks again

bg844

Tonawanda17 said:

Hi, thanks very much for your reply. Yes, i am in the support group and 100% contribution based (No top ups).  I checked the wording again and the last part of the letter says "the amounts on this page apply from 15th  april 2023 to 1st december 2023. Yours sencerley, Manager" Does this still make sense to you?

You are right in saying the wording of most of these things is very confusing. Thanks again

Yes, it does make sense. You will receive another letter later this year with different dates on going in to next year.

Tonawanda17

Thanks very much for your help

Tonawanda17

Hi, can someone tell me if the old incapacity benefit was contribution based and affected by savings?

Thanks

poppy123456

Tonawanda17 said:

Hi, can someone tell me if the old incapacity benefit was contribution based and affected by savings?

Thanks

No it wasn’t. As you’re aware it no longer exists though. https://www.entitledto.co.uk/help/incapacity-benefit