Warning for families on benefits going away during the summer holidays – how to avoid your pay being stopped

FAMILIES on benefits going on holiday this summer have been issued a warning over a mistake which could see payments stopped.

If you’re on Carer’s Allowance and heading abroad for longer than four weeks you need to report it as it could affect your entitlement.

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If you don’t, your payments may be reduced or stopped.

You could also be slapped with a £50 penalty on top of having to pay back any of the benefit you’ve been overpaid.

If you are found to have deliberately not reported a change in circumstances, you may even land yourself an up to £5,000 fine.

The rules explained

You need to report the following changes in circumstances if you’re claiming Carer’s Allowance:

• you change, start or leave your job
• you start earning more than £196 a week
• you stop being a carer
• you stop providing at least 35 hours of care a week
• you take a holiday or go into hospital – even if you arrange care while you’re away
• the person you care for goes into hospital, into a care home or takes a holiday

When it comes to reporting taking a holiday, you only need to report if you are going away for more than four weeks.

You need to report a change in circumstances to the Carer’s Allowance service.

You can do this via the government’s website – www.gov.uk/carers-allowance-report-change. It should take around 10 minutes.

You’ll need your National Insurance (NI) number, details of the person you’re caring for and details of your change in circumstances to hand.

You can also report going abroad to the DWP Carers Allowance Unit via telephone or post.

The number to call is 0800 731 0297 or you can write to Freepost DWP Carers Allowance Unit.

What is Carer’s Allowance?

Carer’s Allowance is the main benefit for carers in the UK and is worth £83.30 a week.

You have to meet a number of criteria to be classed eligible. The following must apply:

• you look after someone for at least 35 hours a week
• you don’t earn more than £196 per week after deductions (tax, NI and expenses such as pension contributions)
• the person you care for receives a disability benefit (see below)
• you’re aged 16 or over
• you’re not in full-time education
• you are a UK resident

The main disability benefits someone is on that qualify you for Carer’s Allowance are PIP, Disability Living Allowance and Attendance Allowance.

The full list can be found via www.gov.uk/carers-allowance/eligiblity.

Like many other benefits, Carer’s Allowance opens up a host of other perks.

For example, for each week you get Carer’s Allowance, you’ll automatically get NI credits that will top up your state pension.

Carer’s Allowance can also make you eligible for a council tax reduction and grants and bursaries to cover the cost of courses and training.

Bear in mind, if your weekly earnings breach £196, known as the earnings limit, you will no longer be eligible for Carer’s Allowance.

The weekly limit was uplifted in April, from £151 to £196 – the largest yearly rise since 1976.

If you are on Carer’s Allowance and your earnings rise to over this threshold, it’s crucial you report this so you’re not overpaid.

If you don’t, you will have to pay back any overpaid benefit.

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