The pension credit provides additional money to help people over retirement age with low incomes cover their living costs. By claiming a pension credit, people could see their weekly income reach £ 177.10 per week and get a free TV license if they are 75 or over.
People with shelter costs might get an additional amount to help cover them, such as ground rent if their property is a lease, a service charge, or fees for tents and pitch rents. The amount that can be received depends on the accommodation costs.
Pension credit is separate from state pension, and people can get pension credit even if they have other income, savings, or own a house.
By receiving a pension credit, a person will automatically receive cold weather payments and will also be eligible for help with NHS costs, such as prescriptions, dental care, glasses, and transportation costs to appointments. in hospital, as well as a free television license for those aged 75 or over.
People who have a partner must include it in their application and will be eligible if they and their partner have both reached retirement age or if one of them receives housing allowance for people who have passed. retirement age.
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A partner is defined as the husband, wife or civil partner of a person with whom one lives, or a person with whom an applicant lives in a relationship, but with whom he is not married or in a civil partnership.
When applying for a pension credit, income is calculated to determine how much a person can claim. If they have a partner, the income is calculated together.
The guarantee credit element of the pension credit supplements the weekly income of single retirees to £ 177.10 and the joint weekly income of a couple to £ 270.30.
For those with higher incomes, it might still be possible to get a pension credit if one has a disability, is looking after someone, has savings or has housing costs.
The amounts that count for a person’s income when assessed include state pension, other pensions, income from employment and self-employment, and most social security benefits, such as care allowance.
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However, not all benefits are counted as income, such as care allowance, Christmas bonus, family allowance, living allowance for disabled people, personal independence payment, fund payments social benefits such as winter fuel allowance, housing allowance and local tax reduction.
For people who have deferred their state pension, the amount they would receive if they had not deferred still counts as income, and it is not possible to build up additional amounts of pension credit by deferring their pension. of state.
People with savings or investments of over £ 10,000 will see this contribute to their income assessment. Each £ 500 over £ 10,000 is considered income of £ 1 per week.
People with savings or a second pension could benefit from the savings credit component of the pension credit if they reached the legal retirement age before April 6, 2016 and have saved money for retirement , like a personal or professional pension.
Single applicants receive up to £ 14.04 in savings credit per week, while couples can receive up to £ 15.71 per week. People who do not receive the Guarantee Credit part of the Retirement Credit can still benefit from a Savings Credit.
People with severe disabilities could receive an additional £ 67.30 per week, provided they receive a care allowance, the average or higher rate of the care component of the Disability Living Allowance ( DLA), the daily life component of the Personal Independence Payment (PIP) or the Armed Forces Independence Payment.
Those caring for another adult could receive an additional £ 37.70 per week if they are receiving care allowance or have applied for care allowance but are not receiving it because they are already receiving another benefit who pays a larger sum.
If an applicant and their partner have both applied for or are receiving care allowance, they may receive this additional amount.
People who are responsible for a child or young person can receive an additional £ 54.60 per week for each child or young person in their care. This goes up to £ 65.10 per week for the first child, if born before April 6, 2017.
The child or adolescent must live normally with the applicant and be under 20 years of age.
If the child is 16 or over and under 20, they must be in or have been accepted for approved training, such as Foundation Apprenticeships or a non-advanced education course, such as studying for GCSEs or A levels.
If the child is in school, it should be more than 12 hours per week on average.
Those who receive tax credits may not receive this additional amount of pension credit to care for a child, but may still be eligible for child tax credits.
If the child or young person is disabled, he or she may also receive an additional amount of £ 29.66 per week if they receive DLA or PIP, or £ 92.54 per week if they are blind or benefit from the highest care component of DLA, or the enhanced daily living component of PIP.
Pension credit claims can be submitted up to four months before reaching retirement age, and people who submit their claim after reaching retirement age can backdate their claim to retirement age. ‘at three months.