INCAPACITY BENEFIT

[chas2008]

incapacity benefit (or whatever its now called) after SSP, is it subject to the amount of savings you have ?

[McMouse]

Incapacity benefit is not means tested. Savings or income not taken into account.

[ummmm]

I would say so....

You're not entitled to any benefits if you have over 16k in the bank. You don't have to declare anything under 6k. The amount of benefit you receive will depend on how much you have between those two figures.

[ummmm]

Forget my answer then...

I didn't know that..

[McMouse]

That's incorrect ummm regarding incapacity benefit.

[ummmm]

See answer above your latest...lol

[McMouse]

See this response below your latest. I'm looking up your "benefits"

[ummmm]

What do you mean?

[Connemmara]

Incapacity benefit is not a means-tested benefit - so you can have as much savings as you want. If you are on other benefits ie (means tested) Income Support etc - then you can have as much as £6,000 in savings but no more than £16,000 then you would not qualify for any benefit again I say means-tested benefit. Sorry that answer is a bit haphazard. means tested benefit allowed savings of £6,000 but over £16,000 will not get any benefit

I personally think it is a disgrace as I have a friend who at the moment worked very hard in a care home for 30 years and has well over £16,000 and within the next few days will know if she will get any kind of benefit. After all she paid her stamps, insurance, superann blah blah - whereas the AN Other never worked in their entire lives and they are entitled to everything. Bl00dy disgrace.

[McMouse]

ummmm.........was just extending the thread.........following your "see answer above your latest" with my "see my response below"
The looking up your "benefits" could have been expressed as "looking up your ***********"

[chas2008]

just to put you the picture my wife( in her 50s) has been off work since xmas, with various problems which are not going to go away, SSP is about to end & neither of us have claimed a penny in our lives so its all a bit new to us.
Just wondered if we will get penalised because of our retirement savings that we have worked so hard for.

[ummmm]

Ok McMouse :-)

Doesn't look it chas...

[Connemmara]

when she comes off SSP and if doctor deems her still unwell - she will go onto either Incapacity Benefit or another benefit that was brought out a while ago - which is called ESA means Employment and Support Allowance - this is a benefit that means your wife could go on to until again if Doctor sees fit that she is able to go back to work and not necessarily her own job - any kind of a job she would be ably to do. It is all so complicated so I wish you very best of luck in getting help. ESA is an amalgamation of Incapacity Benefit and Income Support. I think that is what they are putting most people on and doing away with the Incapacity Benefit.

[lucca]

Beg to differ re "not means-tested" - if you have an occupational pension, and then manage to start another job, and then become too ill to continue, but have paid your stamp for about a million years, your I.B. is reduced. Happened to me, except it wasn't just reduced, it was slashed. Top government bod replied to my furious letter:- "You are already getting enough money for being ill....."

[Connemmara]

As I say Lucca - every case is very individual.

[buildersmate]

The 'stamp' (National Insurance) isn't payable by employees to provide (if necessary) for social benefits such as Income Support or Incapacity Benefit during one's working life. Its origins were proposed to fund the National Health Service though it has long since just been another source of general taxation for the Government. Now it is regarded as providing for the individual's State Pension, and there is a link between NI contributions made and the pension provided at 65.
Other benefits that may be claimed are there to bring an individual up to a minimum income level so it doesn't seem unreasonable one should use the capital first before calling upon the State.
Claiming to have the capital there to fund for your pension later doesn't wash with the Government because you could use the money for absolutely anything and not use it for your pension.
If you want to reduce the amount of capital you have (as used to assess whether you are entitled to means-tested benefits), put it into a single-contribution lump-sum pension pot. Then it is out-of-reach to be regarded as having >£16k in capital.