ESA deduction

View previous topic View next topic Go down

ESA deduction

Post by Beachcomber on Thu Mar 12, 2015 7:14 pm

Our South Wales rep has been informed that with effect from ist April ESA - Employment Support Allowance will not be deducted from police IOD pensions.
avatar
Beachcomber
Admin

Posts : 159
Join date : 2015-01-22

http://www.pipin.org.uk

Back to top Go down

Re: ESA deduction

Post by Adversity on Thu Mar 12, 2015 9:50 pm

Having been kept informed of the full story by the SW rep, I understand this decision is just temporary, to get all SW pensioners on a consistent approach, until such time as legislation is passed, "South Wales Police reserves its position to seek repayment", so it is still up in the air!

Adversity

Posts : 30
Join date : 2015-01-30

Back to top Go down

Re: ESA deduction

Post by oswald on Sun Mar 29, 2015 3:10 pm

Am I correct in my belief that if you have not made NI contributions in the last 3 years you are not eligible for esa. That being the case how can my Force deduct something I am not entitle to claim? I noted that when they asked their annual question of what benefits you are claiming the esa entitlement was being mentioned.
avatar
oswald

Posts : 6
Join date : 2015-01-30

Back to top Go down

Re: ESA deduction

Post by Adversity on Sun Mar 29, 2015 3:54 pm

Hello.

There are 2 types ESA, (which are then broken down into further categories of WRAG and SUPPORT, based on severity of incapacity, and then further into whether an actual monetary benefit will be paid, or just an entitlement to your NI credits being paid, although no actual benefit will be paid).

1. Income related-is means tested, they look at your income and your partners, and also if you have savings of over £16000 you get nothing. If you have savings of £6000-£16000, they assume an income of £1 a week for every £250 over £6000, that income is added to your actual income. (But there are lots of ifs and buts to this!)


2. Contributions based-you must have actually paid enough Class 1 or 2 national insurance contributions in at least one of the last two complete tax years before the year in which you claim. However, you may be able to satisfy this condition with contributions paid in any tax year in some circumstances - for example, because you were getting Carer’s Allowance or Incapacity Benefit, or if you were getting Working Tax Credit with a disability element before you became incapable of work. Even if you pass the entitlement to it based on your NI credits history, they then still effectively means test it, as if you have a gross pension income of more than £85 a week, the amount of benefit payable will be reduced by half of the excess. For example, for a pension income of £100 a week, the excess is £15. Therefore the amount of Employment and Support Allowance payable is reduced by half of that, which is £7.50.

(You may see some of us on the forum who do get ESA, despite a pension income, that is because we started getting incapacity benefit before April 2001 when the rules changed, therefore we have been ring fenced to an entitlement).

The police insist you claim what relevant benefits you are entitled to. You may have gathered by other postings, that there is an issue as to whether ESA is a relevant benefit, but it is anticipated that the Home Office will formally make it a relevant benefit this year. So technically you should apply. This will cover you if your force decide that you should be entitled to it, as they are allowed to reduce your pension by the amount of the benefit they think you should be entitled to. So apply to the DWP IN WRITING, and keep evidence of your application to satisfy the police at a later date. DWP will most likely say you are not entitled because of a/b/c…... great, keep that letter safe, you have satisfied the issue of claiming.

If the DWP decide you have an 'entitlement' because of your national contributions record, you may find that your 'entitlement' means that you will not actually get any benefit paid, but your NI credits will be paid for you. Be warned, you still need to go through the hoops of medicals and questionnaires just to get your NI contributions paid.

It is all complicated!




Adversity

Posts : 30
Join date : 2015-01-30

Back to top Go down

Re: ESA deduction

Post by oswald on Sun Mar 29, 2015 8:24 pm

Dear Adversity, thank you very much for your very thorough guidance / advice. Just one more question whereby based upon the fact that I am 61 and have already attained sufficient ni contributions for state pension would it not be simpler to wait and see if they try and deduct a benefit I do not attain. If they do I could then make an application. Your thoughts please.
avatar
oswald

Posts : 6
Join date : 2015-01-30

Back to top Go down

Re: ESA deduction

Post by Adversity on Sun Mar 29, 2015 9:27 pm

Hello Oswald.

Schedule 3 of the police [injury benefit] regulations 2006 states-

7. (1) The amount of the injury pension in respect of any week, calculated as aforesaid, shall be reduced on account of any such additional benefit as is mentioned in sub-paragraph (3) to which the person concerned is entitled in respect of the same week...”

I think you just need to prove you are not entitled to any payment of ESA, to satisfy the Police, should they prove awkward. Once you have the letter in your hand from DWP stating you are not entitled, you are covering your own back. Believe me, the DWP are very keen not to award anyone ESA, you just need that in writing. The DWP may write and say you are entitled to apply to get NI credits ONLY, depending on whether you passed their medical, because of your income barring you from getting a monetary benefit. Then I believe it would be fair for you to say you did not wish to just get the credits, and the police would accept that, as they can not deduct 'NI credits', (although if they are reading this, they may decide to place a monetary value on those NI credits, they will try anything!!!)

I know that you may not want the credits, but remember, those credits entitle you to extras, such as DWP bereavement benefits etc, and also, if you are entitled to credits, should your health take a further nose dive, you would be entitled to submit a new claim for ESA, as your claim would be ongoing and unbroken. Also, a few years ago we needed 44yrs contributions to get a full state pension, then it was 30yrs, now it is 35. Seeing as the government think we are all living to be 100yrs, it would not be unexpected for them to change the rules again and say we need 50yrs!

Look at https://www.gov.uk/employment-support-allowance/how-to-claim you will see you can print out the ESA1 application form and post it. DO NOT ring them, you need evidence of the exchange of words! I am sure that you will get a standard reply stating you are not entitled, and that will be the end of it, and you can relax.

The problem with waiting to see what happens instead, is that the very act of you not applying now, could be the reason you are later not entitled to benefit, and I wouldn't put it past the police to insist that you have purposely deprived yourself of obtaining the benefit, and therefore they will treat you as though you are receiving it.

On a similar point, if you were pensioned off due to an injury at work, did you claim Industrial Injuries Benefit? Again it is one of those that you are required to claim, if entitled, but at least it is a tax free benefit for now, so does not cause the problems ESA causes.

Please feel free to ask further questions, I have (sadly) a lot experience of ESA and DWP

Adversity

Posts : 30
Join date : 2015-01-30

Back to top Go down

Re: ESA deduction

Post by oswald on Sun Mar 29, 2015 9:37 pm

Fantastic advice, which I will adhere to. You have mentioned a couple of points I never even thought of. I have been on Pipin for many years now under a different user name and first time I have asked questions. I am glad I did.
avatar
oswald

Posts : 6
Join date : 2015-01-30

Back to top Go down

Re: ESA deduction

Post by Sponsored content


Sponsored content


Back to top Go down

View previous topic View next topic Back to top

- Similar topics

 
Permissions in this forum:
You cannot reply to topics in this forum