NI credits

how are they supposed to calculate the deduction from our capital? I know it's £1 deducted for every £250 of capital I have per WEEK, but how are they supposed to work that amount out if my capital depletes during each month? They know from my bank statement that I provided both ESA and HB that my capital depletes by a set amount once a month (and they will obviously divide that monthly depletion amount by 4 weeks). I have an amount from ESA and HB (which are different amounts) that they're deducting per week and I can't figure out yet how they got it?

the deduction will be based on the last total of your savings (capital) and assets that you have reported to the DWP. It is your responsibility to notify the DWP if there is a persistent reduction in the total, the deduction should then be adjusted to that new total.

I've been wracking my brain for how to simplify calculating this issue but my brain is at a standstill:
1) Obviously I multiple ESA's or HB's deduction amount by £250 to reach the capital balance that they each used.
2) But what I still don't understand is HOW do they each reach this balance amount because logically a claimant's capital will decrease from expenses during the month, and they will have ESA and HB payments every fortnight increasing the capital total again temporarily. It's not as simple as: we're now receiving ESA and HB again therefore we can stay off our other capital - the deduction means we're receiving less money and need to dip into our capital for living expenses...so it will also gradually deplete each month. The fluctuation is too much within a month...it's just not feasible for every claimant in this situation to send in bank statements on a weekly basis - not feasible for the ill claimant with that energy/money cost, and not feasible for ESA or HB post and finance staff to be receiving all these statements???!
3) And surely they don't calculate this manually - they must have software for this? Doing this manually for thousands of claimants would just cause a boatload of errors and consume benefit staff hours that they don't have to spare!

Any clarity on this will help my brain move forward in trying to calculate what each of their deductions should have been/should be before I write to them with the breakdown - doing a weekly breakdown (with all the fluctuation) is just going to fry my brain further.

Gordon, I deeply appreciate your help: your answers are so clear and succinct. I had asked local benefits advisors re this tariff deduction before you and not one of them highlighted to me that the tariff is DEDUCTED weekly but CALCULATED from a last agreed balance (not weekly). Or highlighted that I first needed to subtract £6,000 from the capital balance. Or highlighted that the tariff is not adjusted to account for benefit payments or expenditure. I hadn’t wanted to bother you until I’d wracked my brain first trying to figure it out on my own, but boy do I wish I’d just asked you earlier on to clarify.

Sorry, one more quick question for now: I've read something about "or part thereof" so taking your example of £15,000 total - what if it is precisely say £15,234? Do they take the total to be a flat £15,000 or will they use that specific total of £15,234?