Universal Credit honest opinions-single parent

[Abraha]

Hi, I'm a working single parent and rent in social housing. Before Covid child 2ent to morning and after sch clubs. During Covid i have been lucky to work from home so income remained the same and not paying childcare. I recieve little housing benefit and they take into account the fact i pay childcare but as im not im worried I will be expected to pay the full rent which is most of my income anyway but the £130 they pay helps. Anyway due to bad press and stories of Universal Credit im hesitant to switch from tax credit style to UC. My friend swears by she is better off on it and she knows other people who say they are also better off on it too. I'm just scared and i dnt know why. Is it the i ritual change I dnt know but when i calculated it on 3 trusted sites all say i am better off by £200 on UC. If any1 told me that I would say what are you waiting for so i feel silly being hesitant but i am. What are people's honest thoughts on UC?

I don't get all this crap about UC. It's fine. You'll be moved to it eventually. If the sites say you're better off, then you are. It stops you getting into any debt by overpayments as it goes off your monthly income.
£200 is a lot to be better off by, I'm not sure why you're questioning it? Do you really think the gov would leave as many people that are on UC with a shit system that leaves them in hardship?
It's really easy, simple. Bloody hate all this UC bashing the press are doing. It's fine ffs

UC can work for some people but it doesnt for others.

Do you really think the gov would leave as many people that are on UC with a shit system that leaves them in hardship?

Yes and it does for certain groups of people. So much so individuals have had the rules changed at tribunal. January 2019 it was ruled that those who have severe disability premiums as part of their legacy benefits are now unable to claim UC as it was deemed the change would leave them financially worse off.

There is also an issue for some who have childcare costs as UC is paid in arrears so the claimant must fund the 1st month of child care costs before they will recieve it in their award.

Due to the assessment period for UC those who receive a wage twice in that period due to pay dates will find that their award is reduced considerably and in some cases nil for that period.

Tax credits can be paid weekly so people manage/budget that way. They can end up in considerable debt when moving to UC due to the payments been 5 weekly (4 week assessment period paid in the 5th week).
Councils have seen huge increases in rent arrears as housing costs are paid to the claimant not the council. They can apply for an APA but only if there are 2 consecutive months of arrears.

I would advise anyone considering a move to UC to speak to a benefits advisor before making the change as there is no way back once you move.

I second speaking to a benefits advisor.

I am one of the ones it does not work well for. Tax credits isnt a great system to be on but after taking advise from a benefits advisor I will be significantly worse off moving myself on to UC. So much so I was shocked how different even though the figures were with exactly the same income and circumstances.
I dont earn much, and have 1 child, but I am mortgaged so I imagine this was a factor in my calculation.

Anyway because of it I am now in constant panic if my circumstances unexpectedly change and I am forced to moved onto it.

So definitely take proper advice.

Theres some mumsnetters who can calculate it for you so hopefully they will comment.

Good luck

I’m better off on UC so made the switch last year. The 5 week wait for money was painful but I took a small advance to get me through it. So far UC is working well for me.

Generally speaking, if you work then you are better off on UC, especially if you rent and only received a small amount of housing benefit.

My DH is in a different job now compared to when we received tax credits, and his salary is slightly more. However we are getting the same amount in UC as we got in tax credits, plus the extra from his salary, so for us it's a lot better.

Uc is good for working people, not so good for those not working. The standard element has been increased temporarily due to covoid and people not getting working tax credits want see that increase. I'll be helping my 19 year old ds go onto Uc as soon as his college date finishes, he is currently furloughed from his part time job but will get a small amount of Uc.

Thank you all for the suggestions i really appreciate it as i am apprehensive about switching and i can't give a clear indication as to why.

I work full-time and have one child. I receive a UC top-up as I live in a high rent area. UC has really helped me out unlike HB. I find it quite transparent and easy to follow in terms of the calculations---I found tax credits & HB to be a minefield in comparison.
I, also, like that I can work overtime and my UC automatically adjusts the following month and I don't end up with an overpayment!

Do the calculators, OP. If you do decide to switch, take into account when you get paid because, as pp have said, you could have two pay days fall in one assessment period, which would greatly lower your UC amount for the following month. Also, weekly pay can affect how UC is calculated-I'm not sure how though.

Just some pointers:
Your assessment period starts from the day you apply. For example, if you applied 13th June--your assessment period will be from 13th June until 12th July. All earnings during this period will be factored into your UC calculation. Also, 13th to the 12th will be the same assessment periods each month.
As most people get paid at end of the month, make sure it falls in the middle of your assessment period ideally so you don't have two pay days fall in the same assessment period as mentioned above.
Also, if and when you do apply, wait until after you receive your monthly pay/tax credits before switching over.

HTH.

benefits-calculator.turn2us.org.uk/AboutYou

Hi

Sorry to jump on this again but may I just ask what circumstances would mean that UC doesnt work out best for you?

For me it doesn't. The exact same circumstances that I am receiving tax credits for, would be over £200 less a month on UC. Which is also why I am scared to be forced to move on to it if my circumstances change. But that sort of figure is a huge difference between the 2 systems.

I am a single parent, working 30 hours, earning little over 13,000 a year. I also have a mortgage. Sorry to sound silly but is it that I'm mortgaged?

TIA x

@spideymom

Hi, sure, so i work 37hrs before Vivid was paying £70 per week in childcare. I near enough pay full rent. After covid im still working those hrs and earning the same 23k just not the childcare but regardless of what calculation with or without that element, I still got more on UC. It cld be either the mortgage or the earnings part. I may earn that figure but it's always a catch the more you earn the less help I get with housing benefit because i had to pay more in childcare so will get bit more to help with that. However, they say they overpaid me I tax credits so they only helped me with £2.50 a week lol. I dnt know how that helps when you have to pay 70 odd a week. I can't deal with the over payments anymore and the miscalculations but if im better off im going to do it before pushed to as they dnt seem to be pushing me to crossover yet. I'm going to try and speak with an advisor to make sure but i have done the calculations on numerous sites with near enough the same amount coming up.

I find UC great. I'm also a single mum of 1 and work part time as a legal professional with UC top up. I find it more than generous and live quite comfortably on it. I recommend a page called universal credit essentials on FB, their advisors can check your figures and tell you exactly what you will receive. It's easy to calculate once you know how! Good luck!

@SpideyMom have you used entitled to or similar for your calculations? They aren't always the most accurate, the best way to calculate it is to do it manually. Are you over 25, how many children do you have and what ages? What's your take home pay each month after deductions?

@spideymom

I'm 33yrs old. Take home after tax/Ni/ student lpan etc is £1600. I have done two calculations 1 inc childcare and one without as currently i refuse to go into the office until it has been cleaned. Rent is £887.77 per month and i have 1 child under 10. I have used entitled to, turn to us and the gov.uk one. All are not far off each other in the difference. I have requested to join the Facebook page universal credit essentials as informed by @sittingonacornflake which looks helpful.

Thanks.

I have used all the calculators online and also someone on here PM'd me to calculate it for me last year, and she told me I would be significantly worse off on UC.

Can I PM you?

SpideyMom, you are worse off likely because you don't rent. If you were renting, you would likely qualify for full LHA (local housing allowance)for two bedrooms based on your income but as you have a mortgage you only qualify for a higher standard allowance, I believe. @Babyroobs is great with this stuff.
Run the calculations based on a two-bedroom property to rent for your area and see what you get.
I am also assuming you have and your child have no disabilities.

*you and your have no qualifying disabilities as this affects your calculations.

@Lifeisabeach09 yes I was wondering if it was my mortgage.
Thats right. My DS is awaiting official diagnosis in order to obtain his care plan. However this wont mean he qualifies for any additional help financially, so no, no disabilities

Does anybody know how much of a decrease the UC will be going forward once they resume back to normal. I was informed it may be more now but that's only because of the increase due to avoid

The standard allowance went up by roughly £83 per month to £409 per month due to covid. I assume this will reduce back to £317ish (maybe a few pounds more due to inflation). This applies to a single person over the age of 25.

www.gov.uk/universal-credit/what-youll-get