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Contributory Esa or Income


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I have just been made redundant health issues.I am higher rate dla and wife on carers allowance.Sent away Ea50 form with sick line was told should go to support group. I was advised to claim contributory based esa is this correct and how much would i recieve .With redundancy and wages etc i have 11k in bank .I know this wil effect claim but would i be better claiming income based esa Help appreciated

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You can claim both, and (to oversimplify) you'll be paid whichever gives you the higher amount. As noted, your 11k savings will not affect the contributary benefit but will be taken into account for income based. The income based benefit would include an allowance for your wife, but will take into account any income or savings she has - including her Carer's allowance. But there is also a Carer's Premium that can be included as part of an award of income based ESA.

 

When you make a claim you must claim contribution based, but the claim for income based is optional. In your case I'd go ahead and claim both - I don't really see that you'd have anything to lose.

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Regarding savings, what happens for income based ESA is that a 'notional income' of £1 per week is assumed for every £250 you have over £6000.

 

So as a rough example in your case: the first £5999 will be ignored. Then £4 for each thousand up to £11k will be assumed. So you would expect your savings to result in a deduction from your benefit of £20 per week.

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