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Original poster

Universal Credit - Are you entitled to claim if you’re taking unpaid leave?

28 replies

olivia40404 · 23/04/2020 22:00

Asking out of interest as I haven’t decided what to do yet with returning to work, and with the whole covid thing going on I would rather return to work as late as possible as I work in pharmacy and hate thought of putting my daughter at risk. Sad

So maternity pay is paid for 9 months, then if you want to take the remaining 3 months off, you have to do so unpaid. If you take the unpaid 3 months leave, can you claim any kind of universal credit or income support in that period (if you’ve not claimed universal credit before)? Or is it a case of if you’ve decided to take it unpaid, that’s your decision so you get no financial help?

Have tried to google it but can’t really find any clear answers. My other half works full time & will be on roughly 18,800 a year before tax and NI (£10.05ph). After tax and NI he will be bringing in roughly £1400 a month, which isn’t quite enough to cover all of our bills.

OP posts:
EasterIssland · 23/04/2020 22:11

I’m not an expert so I might be wrong but sure If you’re struggling for money they’ll say to go at 9. Months back to work and then if entitled claim for money? Nobody forces you to take that much time off work , in fact some families go back to work when babies are a few months old as they can’t afford it otherwise.

Original poster
olivia40404 · 23/04/2020 22:18

@EasterIssland I was initially planning on going back after 9 months but because of covid-19 I’m actually HOPING to stay at home longer, the full 12 months - but can only do that if there’s some kind of extra bit of help with income coming in.

OP posts:
EasterIssland · 23/04/2020 22:20

Hope someone can give you the right answer. I’ve been checking and seems like they might give some support whilst in leave. But not sure this would be the scenario. Hope it all goes well!

Babyroobs · 23/04/2020 23:37

You will have no work commitments with a child under 2 so would not be penalised for not going back to work as soon s possible. Whether you get any UC depends on your age, your rent amount , earnings etc.

DollyDoDo · 24/04/2020 07:02

UC awards are based on your household income during each assessment period so yes you can apply while on unpaid leave.

Use entitled to calculator and it will give you an estimate of your award/if you qualify.

AnotherEmma · 24/04/2020 07:11

Do you rent or have a mortgage?

MargotMoon · 24/04/2020 07:12

Contact Citizens Advice Help To Claim UC service, they will be able to do a calculation for you.

www.citizensadvice.org.uk/about-us/contact-us/contact-us/help-to-claim/

mamaof2girls · 24/04/2020 08:03

Isn't it everyone is entitled to 9 months pay and that's it so why would you then claim for 3 months? Wouldn't everyone then just do that and that the full year instead off having to go back to work early?

AnotherEmma · 24/04/2020 08:07

Because UC is means-tested (SMP is not) so not everyone is entitled. It includes a contribution towards rent but not mortgage.

Original poster
olivia40404 · 24/04/2020 08:12

@mamaof2girls that’s why i’m asking... seems too good to be true to be able to claim whilst taking unpaid leave out of choice but i haven’t got a clue. i was initially happy to go back to work after 9 months but thanks to covid i really don’t want to go back too soon and put my family at risk.

thanks everyone, will try using a calculator and if i can’t get a clear answer with those i will get in touch with citizens advice. x

OP posts:
disorganisedsecretsquirrel · 24/04/2020 08:39

DWP bod here.

Yes, you can claim.

UC is a replacement of tax credits and based on household income. Therefore with a child and 2 adults on 18k you will should have an entitlement .

UC is a combination of both out of work benefits (Jobseekers, Income support etc) which have obligations placed upon them such as proving you are available for work. However when it is used as an income top up (on your partners wages) then no obligation upon you for anything while baby is small.

UC is pretty crap and cumbersome for the sick and unemployed. Also requires a degree of computer literacy that can be tricky for many. However in your situation OP - it is more generous and very reliable as long as you/partner are paid via a PAYE payroll. Every month your income is reported and the payment adjusted accordingly. Therefore if you claim now , whilst being paid Mat pay - when it stops your UC payment will increase accordingly.

Greenkit · 24/04/2020 08:45

I currently in full time work but taking unpaid leave for 3months in Jan, to go on a cruise, does it mean I can claim.?

disorganisedsecretsquirrel · 24/04/2020 14:17

That would be a no for 2 possibly 3 reasons .

  1. You would be claiming on the basis of your income. If it is a zero hour contract and your hours have been reduced - HMRC will send that information on a live feed and you would receive a top up. If you are in voluntary unpaid leave that would also be notified and your 'notional' salary - what you normally earn taken into account.

Next 2 are assumptions.

If you are cruising - I am assuming you have capital in excess of £16k. So not eligible.

If you live with a spouse/partner then their salary also taken in to account .

Greenkit · 24/04/2020 20:35

@disorganisedsecretsquirrel
I have a house with a mortgage
No other assets or money
Partner will be retired

Interesting how it works though

AnotherEmma · 24/04/2020 20:42

Depends on partner's income, presumably he will have a pension (state and/or company pension).

Rockchick1984 · 24/04/2020 21:02

@Greenkit assuming you don't have a young child, then you would only be eligible to claim if you were actively seeking work, and would have to attend job centre appointments weekly. If you were on a cruise you wouldn't be job seeking therefore wouldn't be able to claim.

ivykaty44 · 25/04/2020 05:54

When you make a claim for UC you have to sign that you are willing to seek employment. There fact is you are already employed therefore this would exclude you from claiming

disorganisedsecretsquirrel · 25/04/2020 15:35

To be fair you only have to be actively seeking work if you aren't already employed.

UC also acts in the same way as tax credits..

disorganisedsecretsquirrel · 25/04/2020 16:04

The most major point though is that you are CHOOSING not to work and to take unpaid leave.

If this was forced upon you then you could claim a top up. Whether you would be entitled depends on circumstances.

Go to' Entitled to' put YOUR individual circumstances in, and you will receive the answer.

Babyroobs · 25/04/2020 19:54

You will absolutely be able to claim Uc as long as your household income is low enough. You have no work commitments with a young baby so will not be made to look for work or penalised for taking a few months off. The only thing that will determine what amount you will get is your partners monthly net income and what your total UC entitlement is.

DollyDoDo · 27/04/2020 06:50

Poster on the cruise.
While on benefits you are not allowed to leave the country even for a 1 week holiday.
It is expected that you are available for work immediately and will be sanctioned if you are not.

You are also expected to look for work unless you are a full time carer or are parenting a child under 2.
If you are part time or on a low wage it is also expected that you look for a job with more hours/better money.

As a mixed age couple if your DH is receiving full state pension it is unlikely your household income will be small enough to claim UC.

SquashedFlyBiscuit · 27/04/2020 06:59

Do you have to pay it back though later?

We had to pay tax credits back several years after a strange year of several months no income, (april onwards) and the employment. But the yearly total meant we had to pay back what we'd lived on thowe first few months !

machupicchuperu · 27/04/2020 07:10

While on benefits you are not allowed to leave the country even for a 1 week holiday

Not true. My friend went to Vietnam for 1 month to see family last summer and was still claiming.

DollyDoDo · 27/04/2020 07:12

Tax credits is different to UC.

UC is based on a 4 week assessment period so if you earn nothing/ very ittle in that 4 weeks you are awarded a payment. If you earn more than the threshold you will receive less/nil award.

Tax credits is based on the previous years income so is a prediction that your award year will be the same amount. If it's not and it's more it generates an overpayment which is recoverable.

DollyDoDo · 27/04/2020 07:14

Not true. My friend went to Vietnam for 1 month to see family last summer and was still claiming.

I doubt they told the job centre that they were out of the country for a month.
While claiming a job seeking benefit you really are not allowed to leave the country.