Severance pay: can I still benefit from the pension credit?

Redundant, but can I get pension credit?

I was thrown into the proverbial scrapyard and fired at the age of 61.

My only income is a pension of almost £7,000 a year, but I received severance pay.

Does this mean that I am not entitled to any pension credit? computer

Jason Witcombe of Evolve Financial Planning at the City of London responds: There are two types of Pension Credit – Guarantee Credit is for people aged 60 or over while Savings Credit is for people aged 65 or over.

Guarantee Credit provides a minimum income by supplementing your weekly income to £130 if you are single or £198.45 if you have a partner.

But the amount of savings and investments you and your partner have will also be considered.

You are assumed to have £1 extra income per week for every £500 of assets above £6,000. Your severance pay will go into this calculation.

The direct.gov.uk website has a useful pension credit calculator. You can also call 0800 991234.