If you have savings of more than £16,000 you will not be entitled to any Housing Benefit or Council Tax Support. However this savings threshold does not apply if you are receiving Pension Credit (Guarantee).
You can use our online calculators to work out if you can apply for benefits and how much you might be able to get:
- Work out how many bedrooms you are entitled to in your property (you need to do this to work out your Housing Benefit)
- If you rent from a Private Landlord, find your Local Housing Allowance rate (you need to do this to work out your Housing Benefit)
- Work out what Council Tax Support and Housing Benefit you could get
Check what other benefits you could receive using the entitled to benefits calculator.
If you claim Universal Credit any help you are eligible for towards your rent costs will have already been paid within your Universal Credit payments. Therefore you do not need to make a separate claim for Housing Benefit.
How benefits are calculated
Housing Benefit and Council Tax Support are calculated by comparing how much income you have got coming in by how much money the government says you need to live on. The amounts are known as personal allowances and reflect the basic living needs of the person making the claim and any of their family members.
Items classed as income include:
All State Pensions and Benefits
Salaries and Wages
Payments received from boarders and lodgers etc
For every £250 of savings which exceeds £6,000 an income of £1 per week is taken into account, or if you are aged 60 or more it is £1 for every £500 which exceeds £10,000
The following are disregarded but need to be declared on an application form:
Child Benefit and Maintenance in respect of a child
Full salary and wage amounts are not taken into account when benefit is assessed. From the gross amounts the following are deducted: Income Tax, National Insurance, half of any payment to a Private Pension or a Superannuation Scheme. After that there is a further disregard of £5 for a single person, £10 for a couple or £25 for a single parent. If you pay someone to care for your child/children you may also be able to get some of this payment deducted from the income we use in the benefit calculation.
Items classed as capital include:
- Bank, Building Society and Post Office Accounts
National Savings Certificates
Stocks, Shares and Unit Trusts
Property or Land that you have an interest in - this does not include the property you occupy as your home