I get £1,440 a year in extra benefits thanks to Martin Lewis tip after first being rejected – are you eligible too?
A MARTIN Lewis fan has revealed how they boosted their income by £1,440 after following one of his tips
It comes as the MoneySavingExpert.com founder issued a warning to thousands of Brits who could be missing out on up to £3,500 in free cash.
The fan wrote into an episode of the Martin Lewis Money Show Live to share their success in claiming for Pension Credit.
They said they were turned down for for the benefit when they applied the first time, but applied again successfully.
Susan said: "I asked about Pension Credit two years ago but wasn't entitled, however, I saw your email and thought I'd try again.
"I'm now eligible for £120 a month and it's going to make a big difference."
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If you are over 66 and on a low income you could be eligible for Pension Credit, here is what you need to know.
Who is eligible for Penson Credit?
Pension Credit is available for people who are over state pension age and who live in England, Scotland or Wales.
The current state pension age is 66 for both men and women.
It used to be the case that couples, where one person was over state pension age, could claim, but new rules now mean that both people in a couple must be over retirement age to apply.
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This means if you're single and move in with a partner who is younger than the state pension age, you will stop being eligible.
But if you're already receiving Pension Credit under the old system it won't stop unless your circumstances change.
To qualify, you'll need to have a weekly income of less than £201.05 for single people or £306.85 for couples.
Your income is worked out taking into account various elements including:
- Your state pension
- Any other pensions you have saved, for instance, workplace or private pension savings
- Most social security benefits, for example, carer’s allowance
- Any savings or investments worth over £10,000
- Earnings from a job
The calculation does not include:
- Attendance allowance
- Christmas bonus
- Disability living allowance
- Personal independence payment
- Housing benefit
- Council tax reduction
If your income is too high to get Pension Credit, you may still get some savings so it's worth checking.
Pension Credit is not only worth over £201 a week, but it can also open the door to other benefits - including £600 extra cost of living support.
How much can you get in Pension Credit?
There are two parts to the benefit and pensioners can be eligible for one or both parts - here are the current rates for the tax year:
- Guarantee credit - tops up your weekly income to a guaranteed minimum level. This is £201.05 a week if you're single and £306.85 a week for married couples.
- Savings credit - provides extra money if you've saved money towards retirement. You can get an extra £15.94 a week for a single person or £17.84 a week for a married couple.
You may also get additional pension credit if you are disabled, have caring responsibilities or have to pay certain housing costs such as mortgage interest payments.
For instance, you can get either £61.88 a week or £72.31 per week for each child or young person you’re responsible for.
If you are disabled or care for someone who is disabled, you may get more.
For example, if you have a severe disability you could get an extra £76.40 a week or if you care for another adult you could get an extra £42.75 a week.
How do I apply?
You can start your application up to four months before you reach state pension age.
Applications for Pension Credit can be made on the government website or by ringing the claim line on 0800 99 1234.
You can get a friend or family member to ring for you, but you'll need to be with them when they do.
You’ll need the following information about you and your partner if you have one:
- National Insurance number
- Information about any income, savings and investments you have
- Information about your income, savings and investments on the date you want to backdate your application to (usually 3 months ago or the date you reached state pension age)
If you claim after you reach pension age, you can backdate your claim for up to three months.
Meanwhile, the DWP will be writing to thousands of households this summer inviting them to claim Pension Credit so keep an eye out.
How will I be paid?
Your benefits are usually paid into an account, for instance, a bank account.
They're usually paid every four weeks.
You’ll be asked for your bank, building society or credit union account details when you claim.
But if you have problems opening or managing an account, you might be able to claim a different way.
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Meanwhile, a woman was living on just £320 a month and in danger of having her home repossessed before she found she could claim £10,000 in Pension Credit.
Here's a full list of freebies available to pensioners, including those on Pension Credit.