Information for Pension Age Residents

What income is used to calculate support?

If you or your partner receives Pension Credit Guarantee Credit, this is the only income the Council considers.  

If you or your partner receives Pension Credit Savings Credit the Council will work out your Council Tax Support based on the Assessed Income figure and amount of your Savings Credit provided by the Pensions Service.  

If you do not receive either type of Pension Credit you must tell the Council about all the income you and your partner receive so that your Council Tax Support can be calculated.  

The Council uses net income from earnings from an employer or self-employment; this is what is left after tax, national insurance and half your pension contributions are taken out.  

Before your Council Tax Support is worked out you are allowed a standard earnings disregard from your wages. In addition, there is a further earnings disregard if you or your partner work over 30 hours per week, or over 16 hours per week for certain people.  

In certain circumstances you can also be allowed a childcare disregard, from your earnings, providing you pay childcare to a registered childcare provider.  

Some other forms of income are disregarded in the calculation:  

  • Disability Living Allowance  

  • Attendance Allowance  

  • Child Benefit  

  • Child Maintenance  

  • War Disablement Pension  

  • War Widows Pension  

  • Adoption Allowance  

  • Fostering Allowance  

  • Special Guardianship Allowance  

  • Permitted Earnings (i.e. earnings allowed by the Job Centre Plus for people receiving certain sickness benefits)  

  • Charitable or voluntary payments