ISA's and ESA and council tax benefit

Hi

I refer to this thread "isa's a cautionary tale' www.benefitsandwork.co.uk/forum?view=topic&catid=10&id=103524

I have an ISA and I am in ESA support group, plus I claim council tax benefit.

The council know I have an ISA I have to go back to them as my ISA to update my 'tariff income' deduction.

Am I doing the right thing, are there problems ahead.
Thanks.

Chrissy wrote: Hi

I refer to this thread "isa's a cautionary tale' www.benefitsandwork.co.uk/forum?view=topic&catid=10&id=103524

I have an ISA and I am in ESA support group, plus I claim council tax benefit.

The council know I have an ISA I have to go back to them as my ISA to update my 'tariff income' deduction.

Am I doing the right thing, are there problems ahead.
Thanks.

Hi C,

As long as you have informed ESA and The Council Tax Benefit depts in writing of the existence of the ISA's and you update them regularly, there should not be a problem.

For the purposes of financial assessment means tests, ISA's come under the classification of capital, assets or savings, just as cash savings would.

bro58

bro58 wrote:

Chrissy wrote: Hi

I refer to this thread "isa's a cautionary tale' www.benefitsandwork.co.uk/forum?view=topic&catid=10&id=103524

I have an ISA and I am in ESA support group, plus I claim council tax benefit.

The council know I have an ISA I have to go back to them as my ISA to update my 'tariff income' deduction.

Am I doing the right thing, are there problems ahead.
Thanks.

Hi C,

As long as you have informed ESA and The Council Tax Benefit depts in writing of the existence of the ISA's and you update them regularly, there should not be a problem.

For the purposes of financial assessment means tests, ISA's come under the classification of capital, assets or savings, just as cash savings would.

bro58

Hi Bro
I didnt think I needed to inform ESA as I am in the Support Group, please can you confirm this. I dont want to trigger a reassessment also.
Do I not need to inform ESA, thanks.

The CAB said I didnt need to inform the ESA of my ISA.

Chrissy wrote: The CAB said I didnt need to inform the ESA of my ISA.

Hi C,

Which group you are in (WRAG or SG) is irrelevant with this issue, it is what type of ESA in The SG that you are being paid, e.g. Contribution Based (CB) ESA or Income Related (IR) ESA.

If you are being paid CB ESA only then there is no limit to the amount of capital, assets and savings that you can have.

If any part of your ESA payments are IR ESA, then you are only allowed up to £6,000 in capital assets and savings before deductions are made from any IR ESA payments.

Asset rule for ESA(IR)

As many members are unsure whether or not they are receiving CB ESA, IR ESA, or CB ESA with IR ESA top-ups, we advise that they inform ESA in writing if their capital, assets or savings (ISA's exceed the £6,000 trigger point.

Sending Documents to the DWP or ATOS

If you are absolutely positive that you are only receiving CB ESA, then there is no need to inform ESA.

bro58

Hi Bro

sorry to ask another question.
I have got my ESA letter and it says

Living expenses 71.70
Extra money because you are in the support group, - £34.80
which gives a total of income-related amount - £106.50
Personal health insurance or work related pension £19.63 (I get a pension of £500+ which ESA know about)
Total income - £19.63

then it says your income-related amount is £106.50 less £19.63 so you would have been entitled to £86.87
However because you are entitled to contributions based ESA, we will pay you £87.72
there is also a top-up payment of £0.85

I know that income related esa gets stopped after a year, and I have not had any money stopped after a year of being in the support group.
I don't want to trigger a reassessment, so I wonder if you could confirm that no amount is income related because I am really worried now.
thanks again.