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lump sum pension payments
- Tommy Miner
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9 years 2 months ago - 9 years 2 months ago #130887 by Tommy Miner
lump sum pension payments was created by Tommy Miner
my wife and i are both claiming contribution based esa and are both in the support group my question is if either of us are placed on means tested benefits we would be over the means tested threshold which would effect our benefits the savings we have is from my mineworkers pension where i took a lump sum payment which is over the means tested threshold because the pension lump sum payment is taking us over the means tested threshold can the payment be disregarded for means tested purposes for esa income related benefit because the pension lump sum payment is not a periodical payment and is exempt from declared income so can the lump sum pension pay ment be also exempt from declared savings or is there another way you could suggest my savings over and above the means tested threshold can be used for if this cannot be done considering i have recieved this pension lump sum payment over three years ago and we have earmarked the money for urgent alterations to our property for our disablement needs such as a much needed downstairs toilet and bathroom and extra bedrooms for our carers thanks tommy any help appreciated
Last edit: 9 years 2 months ago by . Reason: tick.
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- Gordon
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9 years 2 months ago #130936 by Gordon
Nothing on this board constitutes legal advice - always consult a professional about specific problems
Replied by Gordon on topic lump sum pension payments
TM
We are at the limit of the advice we can give you on this matter, whilst the situation remains theoretical, if you have real concerns about these matter then you need to get face to face advice from a qualified advisor.
To be clear, whilst your reasoning is correct your lump sum is not disregarded as income in regard to ESA(IR), this is because it is not regarded as income but rather capital.
Whilst ESA(IR) does have rules that allow the disregard of capital you do not meet any of these with the exception of Essential Repairs and Improvements, however, you need to be careful in regard to this, as previously posted, the normal disregard for this is 26 weeks, but from your post you have already been in possession of this money for three years and do not appear to have not carried out any essential repairs or improvements, as a result you run the risk of the DWP deciding that this money does qualify for this purpose.
Gordon
We are at the limit of the advice we can give you on this matter, whilst the situation remains theoretical, if you have real concerns about these matter then you need to get face to face advice from a qualified advisor.
To be clear, whilst your reasoning is correct your lump sum is not disregarded as income in regard to ESA(IR), this is because it is not regarded as income but rather capital.
Whilst ESA(IR) does have rules that allow the disregard of capital you do not meet any of these with the exception of Essential Repairs and Improvements, however, you need to be careful in regard to this, as previously posted, the normal disregard for this is 26 weeks, but from your post you have already been in possession of this money for three years and do not appear to have not carried out any essential repairs or improvements, as a result you run the risk of the DWP deciding that this money does qualify for this purpose.
Gordon
Nothing on this board constitutes legal advice - always consult a professional about specific problems
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