Help with benefits please

[InLumba]

Hi all,

 

Could someone help me out.

 

Basically for the past couple of years i have been getting income support due to depression, i attended an assessement few weeks back and recieved a letter this morning telling me that i scored 7 points out of 15 and therefore from the 4/3/09 i am not entitled to National Insurance Credits.

 

Can someone explain what this means please.

 

Thanks

[bazak1]

Hi Inlumba,

 

For most people, there will be periods of their working life when they are not paying contributions because they are not working. Without help this would mean you would have gaps in your national insurance record and this could prevent you getting benefits. In particular, it could affect your State Retirement Pension. The national insurance scheme recognises many of these situations and allows you to qualify for credits or home responsibility protection if you are looking after a child or disabled person.

 

National insurance credits

 

 

National insurance credits are Class 1 contributions which you do not pay for. Credits are added to your contribution record when you are unemployed or have limited capability for work, and in some other situations where you are not working for particular reasons. They will not be paid automatically unless HMRC know about your circumstances - for example, you must be signing on with the Jobcentre Plus office, or have a medical certificate. For some types of credits, you also have to apply in writing.

You get credits when you are 16 for the first three years of your contribution record if your record would otherwise be insufficient. You may also be entitled to credits for years in which you are in training or education. You can get credits for weeks doing jury service, weeks in which you get carer’s allowance, and for weeks in which you get Statutory Maternity Pay or Statutory Adoption Pay.

If you are a man aged 60 to 65 and you are not paying contributions on earnings (because, for example, you have taken early retirement), you will get NI credits.

National insurance credits will not help you to qualify for all benefits.

The rules about when you get credits and when you have to apply for them are very complicated. If you have a query about national insurance credits you should consult an experienced adviser, for example, at a Citizens Advice Bureau.

 

Hope this helps

Baz

[InLumba]

Thanks Baz, i will try contact the CAB tomorrow although doubt i will get through.

 

Any idea what this means in my situation that my NI credits have been stopped?

 

Thanks

[bazak1]

Regards your pension, when you are eligible for it, any gaps in your national insurance contributions record ( NIC record ), could affect your entitlement and/or the amount you receive. A lot of people who end up for one reason or another having these gaps in their NIC, pay voluntary NIC's.

Whether it will make sense for you to do this, depends on a number of factors including ......The amount you've contributed already, and the date you reach pension age.

As i said in my earlier post, The amount of basic State Pension (and certain other state benefits) you're entitled to is based on your NICs record over your working life from age 16 until State Pension age. This record is made up from NICs paid or credited to you in each tax year. A minimum amount of contributions is required to make each year count as a 'qualifying year' towards your overall contributions record.

How gaps in your NICs record might occur

 

 

There could be gaps in your NICs record for various reasons. For example, you may have been:

• employed and had low earnings (below the lower earnings limit of £90 a week (2008-09 rates)
  
• unemployed and not claiming benefit
  
• self-employed and exempt from paying Class 2 contributions because you applied for, and were issued with, a Certificate of Exception
  
• living abroad
  

How many qualifying years do you need to get the full basic State Pension?

 

This depends on when you reach State Pension age. If this is on or after 6 April 2010 you'll need fewer qualifying years than at present. Also, from that date the number of qualifying years needed for a full basic State Pension for men and women will be the same, whereas at present they are different.

 

Effect on your basic State Pension if you don't have the full number of qualifying years.

 

 

men 11 to 44 qualifying years and women 10 to 39 will be allowed between £22.67 and £90.70 per week, depending on circumstances.

 

men 0-10 qualifying years and women 0-9 wont get any state pension based on their own NIC's but may claim something off their partners PROVIDED the partner has payed enough NIC's.

 

if you visit HM Revenue & Customs: Home Page then browse the site, you will find all the information necessary.

 

Failing that, contact your local tax office who will ( i'm sure ) help you with anything further that you need to know.

 

Don't forget to pop back on here if you have any further prob's, cus there always someone on here to help.

 

Good luck

 

Baz

[GEORGE SAINT]

The score isnt owt to do with your NI record - its how they have assessed your incapacity methinks.

[GEORGE SAINT]

PS

You may need to claim JSA, if previously you were claiming due to Incapacity

[MONX]

The letter youve received is telling you that you have failed your "personal capablity and ability test (PCA test)". This means that your credits only claim to Incapacity Benefit has ceased and as a result your claim to Income support will end too.

 

It seems that originally you hadnt paid enough contributions to recieve Incapacity Benefit in its own right and you have been claiming Income support to live off.

 

You have three choices and they are as follows:

 

1. Claim Income support at a lower rate (dependant on age an personal circumstances but usually around £40 per week) and appeal against the decision that you have failed your pca test. Ring the call centre and make a new claim, and use the GL24 form (should have been sent with your decision letter) to appeal against the decision.

 

2. Claim Jobseekers Allowance and appeal against the decision that you have failed your pca test, but you will have to be available and capable of work. Ring the Call Centre and make a new claim. Send the completed GL24 form - appeal form (should have beens sent to you with the decision letter).

 

3. Claim Jobseekers Allowance, again you will have to be available, capable and actively seeking work. Ring the call centre and make a new claim.

 

The important thing to do is ...do something....you can claim the lower rate Income support but that would mean less money to live off until your appeal has had a decision ruled on it. You can claim the Jobseekers allowance but you will have to sign on fortnightly and provide evidence of what you have done to find work.

 

I would suggest that you appeal against the decison no matter what...it is within your rights and you may have the decision overturned...that would mean that if you had been paid at the lower rate of Income Support they would back date it and pay you the difference between the money you were paid and the money you would have been entitled to had they not closed your claim.

 

If you did claim Income support at the lower rate and the decision that you are fit for work stands, you will no longer have an entitlement to Income Support, you will have to claim Jobseekers Allowance anyway.

 

I hope this helps.