How to Apply for Carers Element of Universal Credit?

Q: How do I know if I’m eligible for the Carer’s Element?

Check if you meet the criteria for caregiving hours and if the person you care for receives a qualifying benefit. You can confirm this through your Universal Credit account.

Q: Can I claim both Carer’s Allowance and Carer’s Element?

Yes, but the Carer’s Allowance might reduce the amount of Universal Credit you receive due to the income rules.

Q: What happens if my circumstances change?

You must report any changes such as no longer providing care or changes in the other person’s benefit—through your Universal Credit account.

Q: How much is the Carer’s Element payment?

As of the current rates, the Carer’s Element adds £185.86 per month (subject to change).

Q: Is there a cap on earnings to claim the Carer’s Element?

Yes, there’s an earnings threshold for eligibility. Check the DWP’s guidance for up-to-date details.

Table of Contents

The Carer’s Element of Universal Credit provides vital financial support to those dedicating their time and energy to caring for someone with a disability or severe health condition.

This guide will walk you through the application process, eligibility criteria, and how this benefit can ease financial burdens for carers in the UK.

What is the Carer’s Element of Universal Credit?

The Carer’s Element is an additional amount of money included in your Universal Credit payment if you’re providing care for someone who receives a qualifying disability benefit. It’s designed to acknowledge the vital role carers play and to provide some financial relief for the responsibilities they shoulder.

How Carer’s Element of Universal Credit Works?

The Carer’s Element is a component of Universal Credit designed to financially support carers who dedicate a significant portion of their time to caring for someone with a disability or health condition. Here’s how it works:

Payment Amount: You could receive an additional £81.90 per week (or equivalent monthly amount) if you meet the caregiving criteria. This amount acknowledges the vital role carers play in supporting individuals who require assistance due to disabilities or severe health conditions.
Care Requirements: To qualify, you must care for someone for at least 35 hours a week, but the relationship does not need to be familial, nor do you need to live with the person you care for.
One Claim Per Person: Only one person can claim Carer’s Allowance or Carer’s Element for a single individual, even if multiple people provide care. Additionally, you cannot claim extra Carer’s Element for caring for more than one person.
Interaction with Other Benefits: Claiming Carer’s Element or Carer’s Allowance may affect other benefits that you or the person you care for receive. For instance, it can reduce the payment amounts for overlapping benefits. If your total income exceeds the Personal Allowance threshold, you may also need to pay tax on the Carer’s Element.

How it Works?

You could get £81.90 a week if you care for someone at least 35 hours a week and they get certain disability-related benefits.
You do not need to be related to or live with the person you care for.
No extra payments are made for caring for more than one person.
If someone else also cares for the same person, only one of you can claim Carer’s Allowance.
Carer’s Allowance can affect other benefits for both you and the person you care for.
You’ll need to pay tax on Carer’s Allowance if your income exceeds the Personal Allowance.

How You’re Paid?

Payments can be made weekly in advance or every 4 weeks, depending on your preference.
The funds will be directly deposited into an account of your choice, such as a bank or building society account, ensuring convenience and reliability.

The Carer’s Element provides critical support to those dedicating their time to caregiving, but it’s essential to be mindful of its interaction with other financial entitlements to make informed decisions.

What Are the Carer’s Element Eligibility Criteria?

To qualify for the Carer’s Element of Universal Credit, you and the person you care for must meet specific requirements related to the type of care provided and the benefits received by the individual needing support. Below is a detailed breakdown of the criteria:

What Are the Eligibility for the Person You Care For?

The individual you care for must already be receiving one of the following benefits:

Personal Independence Payment (PIP) – daily living component
Disability Living Allowance (DLA) – middle or highest care rate
Attendance Allowance
Pension Age Disability Payment
Constant Attendance Allowance (at or above the normal maximum rate with an Industrial Injuries Disablement Benefit or the basic (full day) rate with a War Disablement Pension)
Armed Forces Independence Payment
Child Disability Payment – middle or highest care rate
Adult Disability Payment – daily living component at the standard or enhanced rate

If someone else shares caregiving responsibilities and is already claiming Carer’s Allowance, Carer Support Payment, or the Carer’s Element for that individual, you may not be eligible. In such cases, the Department for Work and Pensions (DWP) will determine which carer can receive the benefit.

Type of Care You Provide

You must spend at least 35 hours per week caring for someone. Care activities include:

Assisting with daily tasks like washing and cooking
Accompanying the person to medical appointments
Helping with household management tasks like bill payments and shopping

Your Personal Eligibility

To qualify for the Carer’s Element, you must meet the following criteria:

Be at least 16 years old
Spend at least 35 hours per week caring for someone
Have lived in England, Scotland, or Wales for at least 2 of the last 3 years (unless you’re a refugee or have humanitarian protection status)
Be a permanent resident in England, Scotland, or Wales, or live abroad as part of the armed forces
Not be in full-time education or studying for 21 hours or more per week
Have weekly earnings of £151 or less after tax, National Insurance, and allowable expenses

Special Considerations for Earnings

If your earnings occasionally exceed £151 per week, the DWP may calculate your average earnings to determine eligibility. Allowable expenses that can reduce your earnings calculation include:

Allowable Expenses:

50% of pension contributions
Job-related equipment or travel costs
Business costs if self-employed
Child or disabled care costs while you work (up to 50% of your earnings, excluding relatives as carers)

Payments that do not count as earnings:

Occupational/private pension
Contributions from household members (non-tenants)
Some income from boarders/lodgers
Employer loans/advances

If You Get State Pension or Pension Credit

If your State Pension ≥ £81.90/week, you won’t receive Carer’s Allowance, but Pension Credit may increase.
If your State Pension < £81.90/week, you’ll receive the difference as a Carer’s Allowance top-up.
Delaying your State Pension while receiving Carer’s Allowance won’t earn you extra credits.

If You’re Not Eligible

If you don’t meet the requirements for the Carer’s Element, you might still qualify for Carer’s Credit, which helps protect your State Pension entitlement by covering gaps in your National Insurance record.

Understanding these criteria is essential to determine whether you qualify for the Carer’s Element and how it can fit into your overall financial planning. If in doubt, consult the DWP or a benefits advisor for tailored guidance.

How to Apply for Carer’s Element of Universal Credit?

Applying for the Carer’s Element of Universal Credit is a straightforward process, but it requires preparation to ensure all necessary details are provided. Follow these steps to make a successful claim:

Before You Apply

Gather the following information to streamline your application:

Your personal details:

- National Insurance number (include your partner’s if applicable)
- Bank or building society account details (unless you’re receiving a State Pension)
- Employment details and your latest payslip if you’re working
- P45 form if you’ve recently stopped working
- Course details if you’re currently studying
- Details of any expenses, such as pension contributions or costs associated with caring for children or a disabled person while working

Details of the person you care for:

- Their date of birth and address
- National Insurance number (if they are 16 or older)
- Disability Living Allowance (DLA) reference if they are under 16

How to Submit Your Application?

You can apply for the Carer’s Element of Universal Credit in the following ways:

1. Online Application

- Log in to your Universal Credit account through the UK Government portal.
- Update your circumstances by reporting your role as a carer.
- Provide the necessary details about the person you care for, such as their address and qualifying benefits.
- Upload or mail any supporting documents, if required.

2. Backdating Claims

- You can request to backdate your Carer’s Element claim for up to three months if you meet the eligibility criteria during that period.

3. Alternative Methods of Application

- If you’re unable to apply online, you can request a claim form by post or contact the Carer’s Allowance Unit.

Contact Details for Support

For assistance with your claim, you can reach the Carer’s Allowance Unit using the following options:

Telephone: 0800 731 0297
Textphone: 0800 731 0317
Relay UK: Dial 18001 followed by 0800 731 0297
British Sign Language (BSL) video relay service: Accessible via computer, mobile, or tablet

The Carer’s Allowance Unit is available Monday to Friday, 8am to 6pm.

Supporting Documents for Carer’s Element Application

When applying, ensure you have the following documents ready:

Proof of caregiving hours (e.g., a care plan or a log of tasks performed).
Confirmation of the qualifying disability benefit the person you care for receives.
Evidence of your earnings or other income.

Tips for a Successful Carer’s Element Application

Be precise: Ensure all information, from caregiving hours to the details of the person you care for, is accurate.
Keep records: Document your caregiving tasks and hours.
Stay informed: Regularly check for updates on Universal Credit policies to ensure compliance.

What Are the Effect of Carer’s Allowance on Other Benefits?

Claiming Carer’s Allowance can have an impact on the benefits received by both you and the person you care for. While it provides vital financial support, it’s essential to understand these effects to avoid unexpected changes in your overall benefit entitlements.

Effect on the Benefits of the Person You Care For

When you start receiving Carer’s Allowance, the person you care for might lose access to certain additional benefits:

Severe Disability Premium: This is often added to income-related benefits, such as Employment and Support Allowance (ESA) or Housing Benefit, but it will stop if you receive Carer’s Allowance.
Extra Amount for Severe Disability: If the person you care for receives Pension Credit, this extra payment may no longer be available.

To check if the severe disability payment will stop, contact the relevant organisation, such as:

Jobcentre Plus
Their local council
The Pension Service Helpline
Universal Credit

Additionally, the person you care for might lose access to reduced Council Tax. Contact their local council to find out if this applies to them.

Effect on Your Benefits

When you claim Carer’s Allowance, your other benefit payments may adjust, but your total benefit payments will usually increase or remain the same.

Key Considerations for Your Benefits:

Benefit Cap Exemption: Carer’s Allowance claimants are exempt from the benefit cap, ensuring your payments won’t be reduced due to this rule.
Use a Benefits Calculator: To assess how Carer’s Allowance affects your specific benefit entitlements, use an online benefits calculator or seek advice from a benefits advisor.

If You Get Universal Credit

Carer’s Allowance interacts with Universal Credit in the following ways:

Your Universal Credit payment will be reduced by the same amount as your Carer’s Allowance payment. However, you may still qualify for the Carer’s Element as an additional amount in your Universal Credit, even if you don’t receive Carer’s Allowance.
Always report changes in your circumstances, such as claiming Carer’s Allowance, through your Universal Credit account.

National Insurance Credits with Universal Credit:

Carer’s Allowance provides Class 1 National Insurance credits, which count towards benefits like Jobseeker’s Allowance and State Pension.
Universal Credit provides Class 3 National Insurance credits, which count towards your State Pension only.

If You Receive Working Tax Credit or Child Tax Credit

If you claim Working Tax Credit or Child Tax Credit, you must inform HM Revenue and Customs (HMRC) about your Carer’s Allowance claim, as it may affect these payments.

If You’ve Reached State Pension Age

For those at or above State Pension age:

Pension Credit Adjustments: If you’re eligible for Carer’s Allowance, your Pension Credit payments will usually increase.
Deferring State Pension: Delaying your State Pension claim while receiving Carer’s Allowance won’t allow you to build up extra State Pension credits during this period. However, it may still result in higher payments when you eventually claim your pension.

Conclusion

The Carer’s Element of Universal Credit is a crucial lifeline for those providing care to loved ones.

By understanding the eligibility criteria, gathering the required documents, and following the application process, you can access this financial support to help ease your caregiving journey. Don’t hesitate to apply and make the most of the assistance available to you.

FAQ

How do I know if I’m eligible for the Carer’s Element?