Chapter 3- State Benefits

Question 1

Which act introduced universal ?

Answer 1

Welfare reform act 2012

Question 2

Who is eligible for the Bereavement Support Payment?

Answer 2

Anyone irrespective of age, who’s spouse has passed away?

Question 3

How is the Bereavement Support Payment taxed?

Answer 3

It isn’t and is not included in the benefit cap.

Question 4

How much does the Bereavement Support Payment pay out?

Answer 4

With children - £3500 then £350 a month for 18 months

Without children- £2500 then £100 a month for 18 months

Question 5

What benefits did the Bereavement Support Payment replace from April 2017?

Answer 5

Bereavement Payment, Widowed parents allowance and Bereavement allowance

Question 6

What was the age limit for the Bereavement Payment?

Answer 6

SPA

Question 7

How much was the Bereavement Payment?

Answer 7

£2000 tax free (dependant on deceased’s NICs)

Question 8

How much was the basic Widowed Parents Allowance?

Answer 8

£121.95 a week, taxable and dependent of NICs

Question 9

How long was the Bereavement Allowance paid for?

Answer 9

52 weeks

Question 10

Who was eligible for the Bereavement Allowance?

Answer 10

Between 45 and SPA with sufficient NICs and not entitled to widowed parents allowance

Question 11

What is the usual limit to be eligible for income related benefits?

Answer 11

Capital over £16,000

Question 12

Who is eligible for income support?

Answer 12

Between 16 and SPA
Not in full time education 
Low income 
Work less than 16hrs a week 
Not receiving JSA or ESA

Question 13

What are the conditions for contribution based JSA?

Answer 13

NIC dependent
Not means tested
Last max 6 months

Question 14

What is taken into account for income based JSA?

Answer 14

Claimants and partners income and savings

Question 15

Who is eligible for Statutory Sick Pay?

Answer 15

Anyone who pays class 1 NIC and is unable to work due to sickness for over 4 days in a row

Question 16

Who pays Statutory Sick Pay?

Answer 16

The Employer

Question 17

Is Statutory Sick Pay taxable?

Answer 17

Yes

Question 18

How much is Statutory Sick Pay?

Answer 18

£95.85 a week

Question 19

How long does Statutory Sick Pay last?

Answer 19

28 weeks

Question 20

What’s the aim of ESA?

Answer 20

To help people return to work after sickness or disability

Question 21

When does ESA cease?

Answer 21

At SPA

Question 22

How long is the assessment phase of ESA?

Answer 22

13 weeks

Question 23

What is the outcome with regards to ESA if terminally ill?

Answer 23

Fast tracked to the Support group + £113.55 a week

Question 24

If able to do some work, following the assessment phase, which ESA group would they go into?

Answer 24

Work-related activity group
74.35pw
Work focused interviews from wk 8

Question 25

What is ESA being replaced by?

Answer 25

Universal Credit

Question 26

When was Personal Independence Payment introduced?

Answer 26

Welfare Reform Act 2012

Question 27

What is PIP replacing?

Answer 27

Disability Living Allowance

Question 28

What are the features of PIP?

Answer 28

1. Non means tested, 2. Non NIC dependent 3. Tax free 4. Consists of a daily living component and mobility component

Question 29

Who is eligible for PIP?

Answer 29

Age 16 - SPA Difficulties with activities of daily living or mobility which have lasted at least 3 months and are expected to persist for at least 9 months,

Question 30

Who is eligible for Attendance Allowance?

Answer 30

SPA+ suffering from severe disability for over 6 months

Question 31

What are the features of Disability Living Allowance?

Answer 31

Tax free, not means or NIC dependent

Question 32

Who is eligible for Carers Allowance?

Answer 32

Cares for DLA, PIP or AA recipient. | Working Age earning less than £128 a week after certain deductions.

Question 33

Who is eligible for Child Benefit?

Answer 33

Anyone with children up to 16/20 in full time education | up to earning £50,000 after which amount is reduced 1% for every 100 over the limit

Question 34

Is Child Tax Credit means tested?

Answer 34

Yes

Question 35

What is the max amount of Child Tax Credit you can receive?

Answer 35

£545 a year

Question 36

Who is eligible for Child Tax Credit?

Answer 36

Earning below £16,385 after which it is reduced by 41p for every £1 over, based on joint income

Question 37

What tactic can be used to reduce income to receive CTC?

Answer 37

Pay into a personal pension plan

Question 38

Who is eligible for Working Tax Credit?

Answer 38

``` Over 16 and working at least 16 hours with children or Over 25, working 30+ hours without kids or Over 16, over 16 hrs and disabled ```

Question 39

What is the aim of Working Tax Credit?

Answer 39

To top up earnings for those on low incomes

Question 40

Who pays and administers Tax Credits?

Answer 40

HMRC and DWP respectively.

Question 41

What is the aim of Housing Benefit?

Answer 41

To help with costs of rent.

Question 42

Who is entitled to Housing Benefit?

Answer 42

Anyone eligible for job seekers allowance, income based ESA or pension guarantee credit will be 'passported'.

Question 43

How long before Support for Mortgage Interest is paid and in what form?

Answer 43

After 39 weeks Straight away if on Pension Credit As a loan until property is sold

Question 44

What benefits is Universal Credit replacing?

Answer 44

1. Income support, 2. Income based JSA, 3. Income related ESA, 4. Housing benefit, 5. CTC 6. WTC

Question 45

How is Universal Credit paid?

Answer 45

Monthly, tax free, into a bank account by DWP

Question 46

How is the Benefit Cap applied?

Answer 46

As a deduction in housing benefit

Question 47

How long must you have paid NICs to receive the full state pension?

Answer 47

35 years

Question 48

What is the minimum number of NICs needed to claim any state pension?

Answer 48

10 years

Question 49

What is the future for SPA?

Answer 49

Nov 2018- 65 for both 2020- 66 2026-2028- 67 2037-39 - 68

Question 50

What were the 3 components of the legacy State Pension?

Answer 50

Basic state pension, SERPS (State Earnings Related Pension Scheme) S2P (State Second Pension)

Question 51

Is JSA taxable?

Answer 51

Yes

Question 52

Is Income Support Taxable?

Answer 52

No, unless on strike.

Question 53

In claiming ESA how long will it take to enter the assessment phase?

Answer 53

28 weeks for employed | 3 days for Self-employed

Question 54

What is State Pension Credit?

Answer 54

Available to those 65+ before 6 Apr 2016 Guarantee Credit Savings Credit