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Coming off universal credits

5 replies

GoldenDiamond · 01/12/2023 05:02

I started my universal credits in April last year (split from H)
I've now been offered a better paying job
Once I start and I'm not eligible for universal credits will I need to pay it back, because my pay over the full year will take me out of eligibility
Thanks

OP posts:
BoobsOnTheMoon · 01/12/2023 05:27

No you won't. UC is calculated monthly so a rise in income mid year will only affect the months in which you actually received the higher income. In that one respect it works better than tax credits!

Trez1510 · 01/12/2023 05:28

Not an expert but I believe the amount of UC paid on a monthly basis relates to your income in that specific month, rather than averaged over a year.

I'm basing this on seeing many threads where people are paid a bonus, receive back pay or are paid twice in the one UC period and the impact it has on them for that period only.

I'm sure someone will be along soon to confirm this or correct me!

Trez1510 · 01/12/2023 05:29

@BoobsOnTheMoon

cross post and you were much more succinct in your explanation!! lol

GoldenDiamond · 01/12/2023 05:46

Thanks so much everyone Flowers

OP posts:
Bromptotoo · 01/12/2023 09:14

As others say, UC is paid month to month based on, so far as paid work is concerned, your actual net income as the Employer reports it to HMRC in that month.

If, after any work allowance (which will apply if you've got kids) and the taper you've got more than Max UC - the money the law says you need to live on - then UC payable will be nil.

If, in your new job, that will be the case then after a period of successive month with nil UC your claim will close.

Be aware that if you pay rent, particularly in a costly area of the country, you can earn a surprising amount. There is a cohort out there who, simultaneously, lose Child Benefit due to high income and, at least theoretically, get £300/month UC.

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