Final salary and benefits

woodtop
woodtop Community Member Posts: 1 Listener
in Benefits and income

I received a final salary and accrued holiday pay in May 26 after dismissal from work due to ill health and long term health conditions. I am currently recieving basic ESA awaiting results from work capability assessment and I have been claiming UC over the last few months due to only receiving basic SSP from work. I have my been having my rent benefit included in the UC payments each month.

I knew the amount I received from my final salary and holiday pay in May 26 would stop that month's UC payment and rent however I just received my statement for June to July 26 and they have awarded me no UC payment/rent for that month.

In June to July 26 I only received 3 payments of £191.10 which is for ESA and also my standard rate PIP payment which doesn't get taken into account. The reason I have not been awarded UC for that month is that they have carried over £812 as earnings from May 26. I have no idea why as the sum of final salary was large but not that large? And the salary should have been paid end of April but my work messed up my dismissal date and I got paid in May, work then split the salary and holiday pay into 2 separate payments one 11th May and one 27th May.

Back in 2025 I requested work allow me to use my remaining sick leave as holiday leave at the end of the year which would have helped me financially at that time as I was only on half sick pay then and I only worked part time so was struggling financially at that time. I was denied this saying I would have to accrue the remaining holiday leave over to the next year 2026. If they had done as I said then this would not affected my benefits now so I am quite upset with my ex employers and the DWP. I have read that the DWP can carry over earnings into the next month but then they also say that excess earnings are taken into account for that assessment period only. Because of this the council are now charging me full council tax £144 and I have to pay my rent out of my earnings of £382 for ESA for June to July, the £382 ESA does not even cover my rent never mind my council tax. It seems very unfair and unreasonable.

Comments

  • Rosie_Scope
    Rosie_Scope Posts: 8,926 Online Community Team

    Hi @woodtop, welcome to the community. This sounds really stressful. So sorry to hear you're in financial difficulties after all that's happened with your benefits. As you said, UC can sometimes carry things over to the next month, especially if any payments from work happened after your assessment period. If you're not sure how they've worked it out, you could try asking about it on your journal to check everything's been done correctly.

    Another thing that could be worth a go is speaking to a trained benefits adviser. They'll be able to take a look at your claim and see what might have happened. If you'd like to do that, there's a search tool here to look for local help: Turn2Us - AdviceFinder

    Do you feel you have enough put by to be able to afford your necessities for this month? If you're struggling financially, some councils will offer hardship payments to people on low incomes. What's on offer can vary from place to place, but most councils will have some grants or funding available to people who are experiencing financial difficulties. If you visit your local council website, there should hopefully be some information there.

    Hope things start to settle soon.

  • Emilee
    Emilee Community Member Posts: 77 Empowering

    Hello @woodtop, this sounds like it is to do with Surplus Earnings. I'd be surprised if they have calculated it correctly as it would need to be a substantial amount to have that much carry over.

    If you're able to share you statement from last month (covering your name and personal details) I could help you calculate if they have done this correctly.

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