Is jobseekers allowance a state benefit

For most new claims, only New Style JSA (Contribution Based JSA) is now available; Income Based JSA has been replaced by Universal Credit for most people, unless they have or have had the Severe Disability Premium (SDP) in another means-tested benefit, in which case they still have access to Income Based JSA.

For the benefit and SDP to be payable, Jobseekers must either meet the Contribution-based requirements or the means-tested Income-based conditions.

Taxable:

The personal allowance for Jobseekers Allowance is taxed. Premiums for children, for example, are not taxed if paid in excess of the personal rate.

Unemployed persons or those who work less than 16 hours per week and earn modest wages are eligible for Jobseeker's Allowance.

People in the following categories may get Income Support instead, but only if they have the Severe Disability Premium:

* A Lone Parent with a kid under the age of five living with them since October 2011; * Caring for a seriously handicapped person or a member of their family who is temporarily unwell; * A Disabled person whose wages are limited due to their disability; * A Student (who qualifies for Benefit);

Unemployed people are eligible for New Style Jobseeker's Allowance if they meet the following criteria:

* Are available for work; * Have signed a Jobseeker's Agreement; * Are actively seeking work; * Meet the contribution-based requirements; * Are not engaged in remunerative labor; * Are capable of working; * Are not getting relevant education; * Are under pension age.

If the SDP is engaged, groups like as lone parents and caregivers have the option of claiming Income Support or Jobseeker's Allowance.

To be eligible for Jobseeker's Allowance, a person must be unemployed or working fewer than 16 hours per week on average, and have an income below certain limits. Partners of persons receiving Income-Based Jobseeker's Allowance may work up to 24 hours per week on average without the claimant losing eligibility.

People who work part-time have their first £5.00, £10.00, or £20.00 of earnings disregarded.

The regular disregard is £5.00 per week for singles and £10 per week for couples, although the following categories are eligible for a greater £20 disregard:

Jobseeker Allowance (Income-Based):

* Lone parents are eligible for the Family Premium (Lone Parent); * Disabled persons are eligible for the Disability Premium; * Certain people above the Female Retirement Age are eligible for the Carer Premium; and * Carers are eligible for the Carer Premium.

Contribution-based Jobseeker Allowance:

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* Distribute fisherman.

Jobseeker Allowance (Income and Contribution-Based):

* Members of specialized organizations, such as part-time firefighters and reservists.

Couples receiving Jobseeker's Allowance (Income-based) have the first £10.00 of their wages deducted.

Earnings in excess of the ignored levels are taken into account on a £1 for £1 basis for calculating benefit entitlement.

There is no provision for any job expenditures, such as transportation to and from work.

People who work 16 hours or more per week on average (24 hours or more in the case of partners on Jobseeker's Allowance (Income based)) are typically ineligible for Jobseeker's Allowance.

The following are exceptions to the rule:

* Certain carers and trainees; * Volunteers; * Childminders; * People living in a residential care or nursing home; * Special occupations such as life boatmen, part-time firemen, Territorial Army, Volunteer Reserves, and coastguards; * Local Councillors and foster parents; * People involved in a trade dispute in certain circumstances; * Disabled people with low earnings due to disability; * Share fishermen claiming Jobseeker's Allowance; (Contribution based).

For these persons, there are no time limits on how many hours they may work and still be eligible for Jobseeker's Allowance.

Earnings are taken into consideration as usual, with some having a larger £20.00 disregard.

Jobseeker's Allowance is paid in arrears every two weeks.

Contribution-based The duration of the Jobseeker's Allowance will be restricted to six months.

Income-based Jobseeker's Allowance will be provided as long as the individual's income is less than the appropriate amount and the benefit criteria are satisfied.

Jobseeker Allowance Rates (Effective from April 2020).

Personal Allowance Based on Contribution

£58.90 – 16–24-year-olds

£74.25 – Over the age of 25

The requirements for contribution-based Jobseeker's Allowance are based on past tax years' National Insurance Contributions.

A contribution-based personal allowance The Jobseeker's Allowance will be paid for six months regardless of capital or partner income. There will be no additional charges for children or adults.

Personal Allowance Based on Income

£58.90 – 16-24 year olds

£74.35 – Over the age of 25

Couples

£89 for both under 18s

£116.80 for both / one 18 and up

Children in Need

£68.27 starting from birth

Income-based Jobseeker's Allowance will be based on Income Support, with a personal allowance and extra premiums provided to applicants who have dependents and/or special requirements. After April 04, new claims must include additions for children through Child Tax Credits.

Housing expenses (mortgage interest) will also be reimbursed when applicable after 39 weeks; for the majority of individuals, this is now a repayable loan.

Jobseekers Allowance (Income Based) recipients are typically eligible for full-rate Housing Benefit without having to perform a separate means test.

NOTE:

Unless the SDP is engaged, most new applications for Jobseekers Allowance and other benefits will be replaced with Universal Credit.