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AIBU?

Share your dilemmas and get honest opinions from other Mumsnetters.

Original poster

To be gutted at losing my benefit

491 replies

Clappingforjoy · 03/12/2020 19:05

I am going to inherit some money from sale of parents house and have told universal credit to close my claim but I'm gutted about it.
I have always struggled never had 2 Penny's to rub together and it just so happens I will go over the 16000 mark with this money and know i must sound greedy but my income is very low and i am scared this money will all go on living costs.

OP posts:
Hayeahnobut · 03/12/2020 19:18

I can understand your feelings because your parents would have wanted you to have some longer term security from the money, but unfortunately that's not possible with means tested benefits. Whilst it won't help in your case, for anyone with disabled children (including adult children), you can specify in your will that the money be left in a trust which will not affect benefit entitlement.

Do you have any entitlement to non means tested benefits OP?

Lovemusic33 · 03/12/2020 19:18

I can see why your annoyed OP as this money will likely just vanish until you are so skint you have to claim UC again but can see why people think it’s fair because why should you be claiming money when you have so much in your bank (people pay tax’s to go towards paying for those who need financial help).

You could spend the money on something useful, a car (if you drive)?, home improvements? A holiday? Rather then using it to survive on until you can claim benefits again? At least then you will have something to show for the money or great memories from a holiday.

Soontobe60 · 03/12/2020 19:18

And as someone else has pointed out as soon as it drop below £16k you’ll be able to claim once again.

Original poster
Clappingforjoy · 03/12/2020 19:18

I guess with my condition I was hoping it would secure my future rather than go on living costs

OP posts:
SilverRoe · 03/12/2020 19:20

Invest some of it in your future then. Use some of it to help your credit score or train or anything that might be useful to help you earn more so you don’t have to rely on UC.

Cocomarine · 03/12/2020 19:20

Look at it this way: £16K is actually a hell of a lot of money to be sitting on and still allowed benefits. It’s very fair - google the average savings in the UK.

blog.moneyfarm.com/en/investing-101/average-savings-by-age-in-the-uk-how-much-should-you-be-saving/

25% of people have less than £1K savings!

Try to explain why you shouldn’t have to spend it on living expenses?

On top of that, the rules allow you to have even more disregarded if buying property. You may not be in a position to do that personally, but it’s very fair.

Just how much do you think someone should be able to keep and still receive benefits? £16K? £60K? £116K?

Focus on what you will have (£16K!) not what you won’t.

Original poster
Clappingforjoy · 03/12/2020 19:22

Biker trust me I know exactly what it's like

OP posts:
Soontobe60 · 03/12/2020 19:22

@Diverseduvet

Spend some of the money on your house, new carpets, beds, decorating, then claim when you hit under 16k.
Unfortunately that would be seen as deprecation of assets especially as the OP has notified them of this inheritance. If you’re thinking of doing this OP, check very carefully how it can impact on a new claim.
Original poster
Clappingforjoy · 03/12/2020 19:23

Thanks coco I will

OP posts:
Suzi888 · 03/12/2020 19:24

I’ve worked in benefits OP. It’s true that £16k will take you over the threshold but you are allowed to spend it within reason, I don’t mean blowing it on parties. What would like to do with it? You can spend it on a car, household furnishings, any work that needs doing, a deposit on a house. Keep receipts. Obviously if you own a house you won’t get housing costs, just help with council tax.
You can reapply once the savings drop a little under 16k, I’m not sure how UC class it, we called it ‘tariff income’. Ring UC /ask in your journal.

DecTheTreeTime · 03/12/2020 19:24

What @Cocomarine said. There had to be a cut off. Why should others work hard to pay their taxes for people who claim UC to be sitting on 26k.

Original poster
Clappingforjoy · 03/12/2020 19:24

I dont want it to flutter so have no intention of going on a spending spree.
Heck I want a car because mine is years old but it's still going so I wont spend the money on one

OP posts:
user1325352314 · 03/12/2020 19:24

@Waxonwaxoff0

YANBU. It's shit. You'll get people on here telling you "if you've got savings you don't need benefits" but then it means people on benefits are never able to better themselves.

I am on the old style working tax credits which didn't take savings into account so I was able to save up and buy a house meaning I no longer need to claim housing benefit which I was getting before. I feel sorry for people on UC who won't get this opportunity.

I agree with this. Especially where people struggle to work due to illness/disability, why should they be forced to spend their entire life on the poverty line always struggling to get by and never allowed to do anything that could better their circumstances without being punished?
Bridecilla · 03/12/2020 19:25

You can't really expect to keep getting free money though when you have 20 odd grand?

Pikachubaby · 03/12/2020 19:25

I get it, it’s a worry, but when it runs out benefits option still there, I think?

ApplePie86 · 03/12/2020 19:26

YABVVU

Why should I, as a taxpayer, pay for you to not work while sitting on a pile of cash?

riotlady · 03/12/2020 19:26

@Clappingforjoy

I guess with my condition I was hoping it would secure my future rather than go on living costs
Pensions don’t count as savings for the benefits cap, so could you put some in a private pension? That would help a lot for your future
Original poster
Clappingforjoy · 03/12/2020 19:26

You know what I havent a clue how to use the money.

OP posts:
Crankley · 03/12/2020 19:26

Why do you think it would be reasonable to continue receiving benefits when you will have approx 26k in savings? Benefits are for those who temporarily find themselves in financial difficulty - it's not a lifestyle choice.

picklemewalnuts · 03/12/2020 19:26

Invest it in things that you would usually struggle with- car (but only if you can pay insurance etc), driving lessons, carpet, washing machine, sofa, computer...

Make a list. Check it several times. Think about it.

Waxonwaxoff0 · 03/12/2020 19:27

2 pages in and already we have "taxpayers supporting you" "free money" etc.

Horrible bitter people.

Suzi888 · 03/12/2020 19:27

It’s not depreciation of assets. It’s deprivation of capital and it depends how much and how long it took and what was bought. If your property needs work then you absolutely can spend money wisely. Things like cruises/holidays/huge monetary gifts to children are frowned upon and you will be treated as depriving yourself. Deprivation as a whole is difficult to prove in law.

katienana · 03/12/2020 19:27

OP what is the point of the money then? It needs to be spent at some point.

Original poster
Clappingforjoy · 03/12/2020 19:27

Apple I never said not work at all I want to work but only a certain amount of hours

OP posts:
SchrodingersImmigrant · 03/12/2020 19:28

I agree with this. Especially where people struggle to work due to illness/disability, why should they be forced to spend their entire life on the poverty line always struggling to get by and never allowed to do anything that could better their circumstances without being punished?
You can't really call being able to have up to 16 savings "nothing".

Sorry for your loss OP, but Yabu...

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