SnailyBoy Posted February 8, 2012 Share Posted February 8, 2012 Thank you for the responses so far. Just to clear up a couple of points that may not have been clear from my original post. My friend is no longer claiming any jobseekers allowance at all. He has decided to manage wholly on the wages he gets for working 15 hours a week, which is round about £100. He IS claiming Housing Benefit and reduced rate council tax, but because he is now working he doesn’t get his whole rent paid (as he did when he was claiming JSA), he pays about 60% So if I’ve read some of these replies correctly, he can claim his housing benefit and council tax reduction through contacting the council at Howden House and thus bypass the jobcentre altogether? He could have a problem with deficient N.I Contributions in the future. Link to comment Share on other sites More sharing options...
mrdogshift Posted February 8, 2012 Author Share Posted February 8, 2012 He could have a problem with deficient N.I Contributions in the future. Ah, this may be the sticking point. When we spoke at the weekend he did say something about that but I thought that as he was only earning around £100pw he wouldn't have to pay any National Insurance on his earnings. So are you saying that if he stops signing on, he would not be able to claim any benefits if at some point in the future he gets made redundant? I'm afraid I don't really undertand how National Insurance works (and I'm not sure he does either!) Link to comment Share on other sites More sharing options...
fruitisbad Posted February 8, 2012 Share Posted February 8, 2012 Ah, this may be the sticking point. When we spoke at the weekend he did say something about that but I thought that as he was only earning around £100pw he wouldn't have to pay any National Insurance on his earnings. So are you saying that if he stops signing on, he would not be able to claim any benefits if at some point in the future he gets made redundant? I'm afraid I don't really undertand how National Insurance works (and I'm not sure he does either!) I'm guessing he's talking about the number of years contributions towards a state pension? Link to comment Share on other sites More sharing options...
SnailyBoy Posted February 8, 2012 Share Posted February 8, 2012 Ah, this may be the sticking point. When we spoke at the weekend he did say something about that but I thought that as he was only earning around £100pw he wouldn't have to pay any National Insurance on his earnings. So are you saying that if he stops signing on, he would not be able to claim any benefits if at some point in the future he gets made redundant? I'm afraid I don't really undertand how National Insurance works (and I'm not sure he does either!) If he isn't earning enough to pay Class 1 National Insurance and not receiving a 'credit' from another source, there may be a problem in claiming future contribution based benefits. Has you friend been recently been assessed and found fit for work? If not and there is a genuine restriction on the number of hours they can work due to illness, they really need to seek advice on the appropriate benefit/working pattern for them. Rather than making snap decisions and hoping for the best. Link to comment Share on other sites More sharing options...
Stranza Posted February 8, 2012 Share Posted February 8, 2012 If he isn't earning enough to pay Class 1 National Insurance and not receiving a 'credit' from another source, there may be a problem in claiming future contribution based benefits. Has you friend been recently been assessed and found fit for work? If not and there is a genuine restriction on the number of hours they can work due to illness, they really need to seek advice on the appropriate benefit/working pattern for them. Rather than making snap decisions and hoping for the best. Do they make you take a gap if you need future benefits, equal to the contributions you missed? Some years ago my brother was made redundant from William Cooks and he had redundancy pay which he supported himself for a year fully expecting to find a new job. When he was unsuccessful finding a job and had run out of money he went to sign on for benefit and they wouldn't pay him for a certain period of time because his NI wasn't up to date. I can't remember exactly how it went but the upshot was he had to sell his flat and live from that money. If so the penalty will come at the worst possible time. Link to comment Share on other sites More sharing options...
SnailyBoy Posted February 8, 2012 Share Posted February 8, 2012 Do they make you take a gap if you need future benefits, equal to the contributions you missed? Some years ago my brother was made redundant from William Cooks and he had redundancy pay which he supported himself for a year fully expecting to find a new job. When he was unsuccessful finding a job and had run out of money he went to sign on for benefit and they wouldn't pay him for a certain period of time because his NI wasn't up to date. I can't remember exactly how it went but the upshot was he had to sell his flat and live from that money. If so the penalty will come at the worst possible time. It all depends on the Relevant Income Tax Year(s) for the contributary benefit concerned. Link to comment Share on other sites More sharing options...
Stranza Posted February 8, 2012 Share Posted February 8, 2012 It all depends on the Relevant Income Tax Year(s) for the contributary benefit concerned. Sounds like a minefield! As you suggested earlier getting advice about this could save heart ache later on. Link to comment Share on other sites More sharing options...
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