If you work

Universal Credit can be paid to workers – there’s no limit to how many hours you can work.

How much you get will depend on your circumstances and income.

Universal Credit is a ‘top up’ benefit, so you may be earning too much to qualify.

Each month the DWP will work out your award based on your circumstances at the end of your Assessment Period and the wages you (and any partner) received in that period.

So if your earnings change – so will your Universal Credit award.

Generally for every £1 net you earn your Universal Credit award is reduced by 55p.

You may be entitled to a Work Allowance, if you are, then for every £1 net you earn over your Work Allowance your Universal Credit award is reduced by 55p.

If you are employed, HMRC will send over details of your wages to the DWP which they will then use when working out your UC award every month.

If you are self-employed, you will need to notify the DWP of your income and allowable expenses every month – you will receive a ‘to-do’ when you need to do this. You may be affected by the Minimum Income Floor.

See UC for workers for more details.

TIP: If you are working and you have (or your partner has) health issues then you (or they) may be able to have a Work Capability Assessment. If you (or they) are found to have a Limited Capability for Work this could increase how much UC you get. If you’re not sure speak to a Benefits Adviser.