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I was made redundant last summer: I hate to ask, but what should I be claiming?

by Kam_ 18 October 2012 |

16 comments | Love

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Hi,

I'm 31 year old male, no dependants and live in rented accomodation.

I was made redundant last April. I've worked constantly since I was 16, so I have some savings and received a pay off.

I'm not actively looking for work, but I am trying to set up a small business, which is taking ages.

InApril I will run out of money.

So, my question is: should I be seeking support towards my rent? Or should I be entitled to jobseekers allowance despite not actively looking for a job?

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Comments (16)

40

Arblaster posted
It is useless asking advice, because we do not know your circumstances.

If you have 16k or more in savings you will not get Council Tax Benefit, nor will you get means-tested Job Seekers Allowance. If you have 6k or more savings, they will take a pound a week off your JSA. There are more deductions, depending on how much money you have.

You can get contributory Job Seekers Allowance, no matter how much savings you have, but it will run out.

You might be entitled to help with setting up your business. But you would need to be on JSA for a certain amount of time.

Go ask at your council offices and at the Job Centre Plus. The staff at the latter don't bite. But the staff at the former are *****.
Posted on 19 October 2012 | Love 0 loves Report
881

MikeGG1 posted
The first thing is that you should be signed on in order to maintain your NI contribution record.

You should claim the Contribution-based JSA even if you are not really looking for work. You have paid for it already, effectively. It only lasts for 6 months.

After that, Income-based JSA kicks in, but not if you have more than £16,000 in savings. You only get the full amount if you have less than £6,000.

Likewise Council Tax Benefit and Rent Rebate. See the Council for them.

Mike
Posted on 19 October 2012 | Love 0 loves Report
30

muira posted
make any savings you have disappear from prying eyes..

then do as above 2 reply's..

fill your boots up with as much benefits as you can tolerate

good luck with the business venture..

but don't get too successful,,it does not pay

unless you become a multinational,and can choose where you pay the tax

a bit like starbucks..luxemberg is nice this timeof year,,well anytime really!!
Posted on 19 October 2012 | Love 1 love Report
21

Megatyte posted
You have to be actively looking for work, and prove it, to claim income based JSA. Not sure about contribution based.

A H
Posted on 19 October 2012 | Love 0 loves Report
6

windra posted
Why should the taxpayer pay for you to sit at home when you are not even looking for a job?

When you were working would you have thought it fair that YOUR taxes were going to people who had enough that they considered not looking for a job and taking other peoples money instead?

In answer to your question...NO you should not be seeking money for your rent. If things are getting tight, how about looking for a job?

There are lots of people out there who would love to have their own business, but taking tax payers money while you try to make your dream is not an excuse to mooch off other people. You could have had a part time job for the last 6 months which would be far more than some some get a change at, while still giving you an oppotunity to start your own business.
Posted on 19 October 2012 | Love 4 loves Report
30

muira posted
@ windra ..i too would love to have my own business,,maybe should have done it years ago..probably not within these shores..

i am a taxpayer,,from what i see kam is not claiming anything as yet,

should he not be getting a pat on the back??

he is busy trying to launch a business venture..not easy in these times..

worse still he could go on dragons den ,they only invest on sure fire profit makers.

they take no risks on any ventures..unless mega profits!!.far too scared!!..

maybe theo and co have a solution to the tax problem too!!

plenty taking tax payers money,in fact quite a lot getting university degrees in ology's

that have totally no relevance to benefit mankind or contributing to the tax bill..
Posted on 19 October 2012 | Love 0 loves Report
5

mb49 posted
Hi Kam

The Job Centre has a specific benefit to support people setting up their own business. The scheme is called New Enterprise Allowance and gives you access to a mentor to help you set up your business, a benefit income for a set number of weeks and potentially access to a low cost loan once your business plan is approved. Definately worth a chat with a Job Centre Advisor.
Posted on 19 October 2012 | Love 3 loves Report
5

mb49 posted
Oh and from Monday you are eligible for the New Enterprise Allowance from day one, you dont have to be claiming JSA for 3 month as previously. To maintain your benefits you have to show that you are actively working towards setting up your business.

And Arblaster .... "Go ask at your council offices and at the Job Centre Plus. The staff at the latter don't bite. But the staff at the former are *****."... I work in local council, many of us are helpful!
Posted on 19 October 2012 | Love 2 loves Report
40

Arblaster posted
I work in local council, many of us are helpful!

No you are not. In my experience council officials think they are better than everybody else because they work for the councils. They play office politics with members of the public. They are feckless: they cannot perform simple functions like keeping a file up to date. One has to send everything to them recorded delivery. If one doesn't, one's letter [cue Pan flute] goes on a Picnic to Hanging Rock. They are rude and uncooperative to those who pay for their inflation-proof pensions. In my opinion, they should all be fired. The only people they help are themselves.
Posted on 20 October 2012 | Love 2 loves Report
3

Supercal posted
What should you claim?
You should immediately put in a claim for wrongful dismissal on the basis of, well, anything that pops into your mind really. Favourites are sexual harrassment or race discrimination. You should then claim to HMRC that your employer was fiddling the VAT. That's always good for a laugh. I assume that you have already MT's their stationary cabinet before you left?
Posted on 20 October 2012 | Love 0 loves Report
52

charles125 posted
Be very wary of wrongful dismissal cases. If it actually goes to a full tribunal and you lose it could cost up to £250,000 in costs made against you. You need a really excellent experienced employment lawyer and a pretty much watertight case against the employer. Most get thrown out at the pre-hearing stage, though this won't actually cost you anything except perhaps lawyer's fees. If the employer has followed procedure to the letter you would need to prove actual wrong-doing by the employer, the emphasis being on providing proof.
Posted on 20 October 2012 | Love 0 loves Report
12

Vern54 posted
I wonder why it is that those who have saved a little are discrimated against in favour of those who have not saved and spent all their money. Of course there are plenty of people who aren't earning enough to save much, but there are plenty in similar jobs and incomes who choose different lifestyles. Spend it all and be looked after, or save some and be told to clear off.
I've just been released from work and wonder if it is worth trying to find another job.
Posted on 20 October 2012 | Love 2 loves Report
25

andrewjameshowar posted
"make any savings you have disappear from prying eyes."

Great, so the poor chap's out of work and you want to add benefit fraud to his/her list of woes. Legally and morally wrong. Incitement to do it is probably illegal too and your post is traceable. Really not smart.
Posted on 20 October 2012 | Love 1 love Report
30

muira posted
@andrewjameshowar

so the poor chap's out of work!..

not suggesting he adds benefit fraud,,merely advising he spends some savings

assuming he has enough,to treat himself to a break,to avoid any stress related

problems,from his quoted redundancy situation..which from his original blog

appears to be a plea for help..recently saw a colleague of mine had to go part time

due to stress..a very much admired and respected guy..find i might have to follow

in his footsteps soon!!..i will not be looking for any other type of employment,until some

goverment convinces me it is better to work..

the 3 on offer at present need not apply for my services..power to the people!!

ps what do you think of it so far kam??..
Posted on 26 October 2012 | Love 0 loves Report
0

Kam_ posted
Hey Peops,

Thank you all for the input.... So along with posing the question on here, I also made a visit to the council, who sent me to the jobcentre (depressing place), who then tried to send me back to the council.

I do have more than £16k in savings, so I don't get housing benefit, and my understanding is that job seekers allowance is for a set time only, and to qualify for this, you need to be available for work full time. I am not. Nor am I happy to 'pretend' to look for work.

I was merely asking the question - like I said, I have worked all of my life (at school, college and Uni) so I genuinely have no idea as to what, it anything, that I was entitled to. For example, if I were entitled to having half my rent paid for, then I'd be a fool not to be claiming it.

@Muira - thanks for your support in your first post, and in regards to the redundancy - it's been far one of the best things to happen to me. Making progress on my venture, and having a really, really fantastic year too by doing what I want when I want - I won't have this opportunity again until I retire, so I am savouring the freedom for now.

@ Vern - I am in compete agreement: if I had spent a lot of money on booze, birds and fast cars, and then squandered the rest - then I'd be "entitled" to MUCH more benefit from the government - which is both understandable and discouraging.

Thanks to all who took the time to write.
Posted on 29 October 2012 | Love 0 loves Report
30

muira posted
good luck kam..
you are obviously a bit careful and canny,already have a bit by and a tad worried about the future..

learn to spend a little when you make it..life is so short,and unpredictable!!..savings are a hindrance as you have probably now realised..

my big mistake..and can't break the trend

and for god's sake do not get yourself into a pension scheme..i did and wont get it back till

apparantly i reach 90+..guess i will be well doolaly and scenile well before 75..

and in a home sleeping and wetting myself at best,.judging by todays synopsis

no one lives in cardboard boxes in shop doorways, under railway viaducts,motorway flyovers. etc.

unless they choose to ..not in this country!!!

but then if i won 10 million on the lottery i probably would spend 9.999 million on fast cars,luxury yachts,cigars,booze,loose women,molydeum domes etc..and just waste the rest..
Posted on 29 October 2012 | Love 0 loves Report