Applicable amounts

Everyone has a maximum amount of weekly income they can receive before their income starts to affect their housing benefit and council tax reduction.

This figure is called your applicable amount, and is compared against your income and capital to work out how much housing benefit and council tax reduction you receive.

Your applicable amount varies depending on your age, the size of your family, and any special needs you have (for example whether you are disabled).

The applicable amount has three main parts, these are:

  1. an amount for you and your partner - your personal allowance
  2. an amount for any dependent children - your children's personal allowance
  3. a premium - an element which you may qualify for to cover any special needs which you have

Once your personal allowances and allowances for your children have been worked out, if you meet the qualifying conditions premiums can be added to make up your applicable amount.

Once your income goes over your applicable amount then for every extra pound you have, you lose 65p from your housing benefit and 20p from your council tax reduction.

If you receive jobseekers allowance (income based), employment and support allowance (income related), guaranteed pension credit, or income support we will not need to determine your applicable amount. This is because the assessment of your income and savings will already have been undertaken by the DWP or pension service. You will receive the maximum housing benefit and council tax reduction allowed, subject to any non dependant deductions for other adults who live with you.

Please note that if you are of working age, the maximum council tax reduction is restricted to 85% of your total liability, before any deductions due to income and capital are made.

Applicable amounts for housing benefit and council tax reduction - working age (effective 1 April 2017)

Personal allowance for people under state pension credit age

  Housing benefit 2017/18Council tax reduction 2017/18
Single claimantAged 16-24£57.90£56.25
 Aged 25 or over£73.10£71.00
Lone parentAged under18 (HB only)£57.90£56.25
 Aged over 18£73.10£71.00
CoupleBoth under 18£87.50£111.45
 One or both over 18£114.85£111.45
Polygamous partnerAmount for each additional spouse£41.75£40.45

Personal allowances if you have children

For housing benefits this is restricted to a maximum of 2 children from 1 April 2017.

  Housing benefit 2016/17Council tax reduction 2016/17
Dependent child or young personAmount for every child from date of birth to first Monday in the September following 16th birthday.£66.90£64.99
 Amount per child from September following the 16th birthday to day before 20th birthday as long as receiving child benefit.£66.90£64.99

Premiums

  Housing benefit 2017/18Council tax reduction 2017/18
Family premiumAwarded once to all families with dependent children. HB claimants only receive this if they claimed before 01.05.2016£17.45£17.40
Family premium (lone parent)Awarded once to all lone parents with dependent children who claimed before 5 April 1998.£22.20£22.20
Disability premiumSingle rate£32.55£30.35
 Couple rate£46.40£43.25
Enhanced disability premiumSingle / lone parent£15.90£14.80
 Couple£22.85£21.30
 Child£24.78£22.89
Severe disability premiumSingle£62.45£58.20
 Couple one qualifies£62.45£58.20
 Couple both qualifies£124.90£116.40
Disabled child premium £60.90£56.63
Carer premium £34.95£32.60

Applicable amounts for housing benefit and council tax reduction - over state pension credit age

You can work out your state pension credit age using the government's state pension calculator.

 Personal allowance for people over state pension credit age

  2017/18
Single claimantOver state pension credit age but under  65£159.35
 Aged over 65£172.55
Lone parentOver state pension credit age but under 65£159.35
 Aged over 65£172.55
CoupleOne or both aged over state pension credit age£243.25
 One member or both members aged over 65£258.15
Polygamous partnerAll aged over state pension age but under 65£83.90
Polygamous partnerAmount for each additional spouse (One or more over 65)£85.60

Personal allowances if you have children

  2017/18
Dependent child or young personAmount for every child from date of birth to first Monday in the September following 16th birthday.£66.90
 Amount per child from September following the 16th birthday to day before 20th birthday as long as receiving child benefit.£66.90

Premiums

  2017/18
Family premiumAwarded once to all families with dependent children who claimed before 01.05.2016£17.45
Enhanced disability premiumDisabled child rate£24.78
Severe disability premiumSingle£62.45
 Couple one qualifies£62.45
 Couple both qualifies£124.90
Disabled child premium £60.90
Carer premiumClaimant or partner or each£34.95

Second adult rebate - pensioners only

Only individuals over pension credit age are able to apply for second adult rebate. Working age individuals can not receive this rebate.

If you share your home with another person, who is not liable to pay the council tax bill, and you have lost your single person discount as a result you may qualify for second adult rebate.

Second adult rebate can reduce your council tax bill if the second occupier is on a low income, and does not pay rent to live in your home.

Although you the council tax payer have to apply, it is based on the gross income of the second adult who lives with you. The second adult does not have to be a pensioner.

Please find below the amount of income which the second adult can have before losing entitlement to second adult rebate, and the amount it can reduce your council tax bill by.

If you have any questions please call us on 0208 356 3399 and we can send you a form to apply.  

Second adult rebate2017/18 
 Second adult(s) in receipt of IS or JSA(IB), ESA (IR) or pension credit living with full time student household100%
 Second adult(s) in receipt of IS or JSA(IB), ESA (IR) or pension credit25%
Second adult gross incomeLess than £194.95  per week15%
 £194.95 to £252.50 per week7.5%
 Above £252.50 per week0%

Page updated: 21/03/2017 15:24:05

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