Money
Paul Lewis on the web
More money for over 60s with savings
Up to 50,000 people over 60 will be able to claim extra pension or help with council tax or rent from November 2. At the moment they are excluded because their savings are too high, writes Paul Lewis
From that date new rules raise the amount of savings you can have in the bank and still get help from the state. At the moment £6000 is ignored completely. This is rising to £10,000. That will mean an estimated 20,000 more people will be able to claim pension credit. Some will have savings of £50,000 or more.
The change will also mean that an extra 20,000 people can get their council tax reduced and another 5000 tenants will be able to get money off their rent. Similar changes in Northern Ireland will mean money off rates.
Unfortunately the Government is making no effort to find those who may now be able to claim. So it is up to you.
Even if you do not have significant savings remember that more than two million people over 60 who could get pension credit or a reduction in their council tax do not do so. So if you do not get either benefit you may be able to. Especially with the new savings rules. So check today.
If you or someone you trust has access to the internet you can check what you can get at entitledto.com. It will show how much extra money you can claim or what you can get off your council tax both before and after the change on November 2. It can also deal with the special rules in Northern Ireland which cover rates.
If you cannot check on the web you can call the pension credit helpline on 0800 99 1234. There you can also claim for help with council tax and, if you are a tenant, help with rent. In Northern Ireland call 0808 100 6165.
If you already get pension credit or help with your council tax or rent and the amount is reduced because your savings are over £6000 your payment should increase automatically. About half a million people will get more money from the week beginning November 2. The rise will normally be £3.20 a week though a few will get less than that and about one in five will get an extra £8 a week.
* Written by Paul Lewis, October 29, 2009. Paul's opinions are his own and for general information only. Always seek independent financial advice.
- Paul Lewis on how to trim that overdraft
- Claim it! It's yours...Paul Lewis's PDF guide to tax and benefits
- Paul Lewis on the web: online archive
