Q My husband is coming up to pension age, having worked for 35 years before going on to Incapacity Benefit (IB) eleven years ago. When he reaches 65, he will be due an occupational pension of about £120 a week. We know he will have to come off IB when he is 65, but someone has told us that this occupational pension will affect his State Pension. Is this right?
A The basic State Pension (standard rate currently £79.60 a week) is not affected by occupational pensions, earnings, savings or anything else. However, many people receive an additional pension from the State on top of the basic. This is called State Earnings Related Pension (Serps) or, more recently, State Second Pension (S2P). It is entitlement to these additional pensions that may be reduced if, since 1978, you have been in a company pension scheme instead of being in Serps or S2P.
Q I work 16 hours a week for £80, as well as getting Disability Living Allowance of £62 a month. I am 57. Can I get Income Support?
A The basic rule is that Income Support is not payable to those who work 16 hours a week or more, but there are exceptions. One applies to people whose working capacity is restricted by their disability. Your hours of work, or rate of pay, must be 75 per cent or less of what would be reasonable for an able-bodied person doing the same job. This looks as though it could apply to you, so claim at JobCentre Plus.
Q Our monthly State Pensions are £490.40 and £257.40 plus monthly works pension of £455.21. Should we be paying full council tax of £1,239.77 a year?
A As I have often said, the higher your council tax, the more likely it is that you are paying too much. Even though your income is more than £15,000 a year, for example, you are still paying £90 a year more than you should be.
Q Can my parents claim anything? Their weekly State Pensions are £138.29 and £56 plus other pensions of £25.41 a week. Their monthly council tax is £83 and they have £2,000 savings.
A They should be claiming Council Tax Benefit of £8.26 a week.
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