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Top Housing Benefit & Council Tax Benefit topic #7256

Subject: "calculation of earnings" First topic | Last topic
Tony Bowman
                              

Welfare Rights Advisor, Reading Community Welfare Rights Unit
Member since
25th Nov 2004

calculation of earnings
Mon 29-Sep-08 03:33 PM

I feel I should know this, but the answer eludes me...

My client works term time only for about 10 horus a week. I know how to calculate her hours of work, but I'm confused how to assess her income. She has only three pay days a year - at the end of every term.

Anyone know?

Thanks,

  

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Replies to this topic
RE: calculation of earnings, nevip, 29th Sep 2008, #1
RE: calculation of earnings, Kevin D, 29th Sep 2008, #2

nevip
                              

welfare rights adviser, sefton metropolitan borough council, liverpool.
Member since
22nd Jan 2004

RE: calculation of earnings
Mon 29-Sep-08 04:41 PM

Hi Tony

If you calculate her earnings under HB reg 33(1)(b)(ii) then her actual earnings for each week would be the figure used and this would produce a harsh result. However, if you calculated her earnings under reg 29(1)(b) (fluctuating earnings – and I would argue that her earnings do fluctuate as there are weeks when she doesn’t earn anything at all) then this would allow her earnings to be calculated over a 52-week period and thus produce a much fairer result.


  

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Kevin D
                              

Freelance HB & CTB Consultant/Trainer, Hertfordshire
Member since
20th Jan 2004

RE: calculation of earnings
Mon 29-Sep-08 10:07 PM

Mon 29-Sep-08 10:09 PM by Kevin D

In my view, much depends on the contractual terms relating to when the clmt is actually employed.

If each period is independently and separately contracted, payment for that period should be attributed to the same period.

If the period of employment covers holidays, whether "paid" or not, I think there are two possible arguments - both with merit. Those methods are:

1) Average the sum of the payments over the period from the start of the contract to the end of the contract; or

2) Treat the person as being in employment, but with earnings changes for holidays being treated as changes in circs (e.g. only average over term time weeks, with nil earnings for holidays).

Depending on the facts, any of the above can be "correct" and none necessarily contradict the regulations cited by nevip.

  

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Top Housing Benefit & Council Tax Benefit topic #7256First topic | Last topic