The Department for Work and Pensions (DWP) has released new information on GOV.UK stating that individuals of State Pension age who are also recipients of Attendance Allowance or the middle or highest rate care component of Disability Living Allowance, Personal Independence Payment (PIP), or Adult Disability Payment (ADP), may be eligible for an additional Pension Credit of £76.40 weekly, slated to increase to £81.50 starting from April.

In similar fashion, if a couple is claiming Pension Credit and one individual is receiving a disability benefit, an additional £76.40 per week will be received (£81.50 starting from April). However, if both individuals in the couple receive a disability benefit, the extra credit jumps to £152.80 weekly (£163 from April).

Individuals who are paid Carer’s Allowance might be eligible for extra Pension Credit of £42.75 (rising to £45.60 from April). They may be eligible for this additional Pension Credit even if they are entitled to Carer’s Allowance but don’t receive it or receive it in a smaller amount due to receiving another income-related benefit like State Pension – which is often referred to as an underlying entitlement.

Pension Credit, a means-tested benefit, provides individuals extra funds to aid with living costs if they are above State Pension age and are earning a low income.

Fastest Method to Check Eligibility for Pension Credit

To swiftly gauge eligibility and get an estimate of potential receipt, seniors or their family and friends can use the online Pension Credit calculator on GOV.UK here. Alternatively, you can contact the Pension Credit helpline at 0800 99 1234, lines are open from 8 am to 6 pm, Monday to Friday. What follows is a synopsis of the benefit, including who should check eligibility, and estimates of the potential amount you could receive.

Pension Credit Breakdown

If you are over State Pension age and have a low income, Pension Credit can provide you with additional funds to help with your living expenses. It also grants access to a broad variety of other benefits.

Currently, this benefit augments income to a minimum of £201.05 per week for sole pensioners and £306.85 for couples – with the amount increasing if a person has a disability or caring responsibilities.

From April 2024, the payments will increase to £218.15 per week for single pensioners and £332.95 for couples.

Who Should Check Pension Credit Eligibility?

Those over 65 that reached State Pension age prior to April 6, 2016, could potentially qualify for Pension Credit if their weekly income falls below:

  • £240.90 if you are single
  • £351.45 if you are a couple

Additional Assistance that Comes with Pension Credit

If you are eligible for Pension Credit, you might also be eligible for additional help such as:

  • Housing Benefit if you rent the property you live in
  • Support for Mortgage Interest if you own the property you live in
  • Council Tax discount
  • A free TV licence if you are 75 or older
  • Help with NHS treatment costs, eyewear, and travel expenses for hospital appointments
  • Assistance with heating costs through the Warm Home Discount Scheme
  • A discount on the Royal Mail redirection service if you are moving residences

Mixed Age Pensioner Couples and Pension Credit

In May 2019, legal changes were introduced that redefine ‘mixed age couple’ – a designation for couples where one partner is of State Pension age and the other is not – as a ‘working age’ couple when checking eligibility for means-tested benefits.

How to Use the Pension Credit Calculator

Before utilizing the Pension Credit calculator on GOV.UK, you should prepare details about your:

  • Earnings, benefits, and pensions
  • Savings and investments

You will also need the same details for your partner (if applicable).

You will then be presented a series of questions with multiple-choice answers,

This includes:

  • Your birth date
  • Your residential status
  • Your current location in the UK
  • Whether you are registered as blind
  • The range and amount of benefits you are currently receiving
  • Whether someone is paid a Carer’s Allowance to take care of you
  • The weekly amount from any pensions – State Pension, private, or work pensions
  • Any employment earnings
  • Details of any savings, investments, or bonds

Who Cannot Use the Pension Credit Calculator?

You are ineligible to use the calculator if you or your partner:

  • Are deferring State Pension
  • Own more than one property
  • Are self-employed
  • Have housing costs (such as service charges or Crown Tenant rent) that aren’t mortgage repayments nor rent covered by Housing Benefit

Claim Procedure

You are allowed to initiate your application four months before you reach State Pension age. Although you can claim any time after you reach State Pension age, your claim can only be backdated for three months.

Online Application

You are eligible for the online service if:

  • You have already claimed your State Pension
  • There are no children or young people included in your claim

To validate your entitlement, call the Pension Credit helpline at 0800 99 1234 or utilize the GOV.UK Pension Credit calculator.

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