Budgeting your money Your questions answered

Transcription

1 Budgeting your money

2 Budgeting your money This Rents Newletter has been produced to provide YOU, with information on the burning questions that many of our tenants need the answers to. We have also gathered information to help you understand and plan for the many changes of the Welfare Benefit Reforms. Q: How your rent is spent!!!! Family Housing Association strives to maintain a high standard of service as a social landlord to our tenants. The Associations main source of revenue comes directly from the rent that YOU pay the Association. When you pay your rent it is recycled back into the association. 34% Property Loans 1% Property Lease Cost 2% Rent Void Loss & Bad Debt 9% Property Depreciation 10% Development Costs 14% Housing Management 30% Property Repairs

3 Q: Service Charge? Some of our tenants pay for additional services which we call service charges They may include such things as: Estate Services grounds maintenance and cleaning Window Cleaning Fire Protection Systems Lifts We provide services where costs are kept to a minimum while maintaining a high standard of service. What the contractors do and the services we provide, are regularly reviewed with our tenants. A range of methods are used to monitor the quality of services including tenant satisfaction feedback and site inspections by Tenant Service Assessors and staff. If you would like to be involved in reviewing the services provided by the Association please contact Carol Johns on for further information. You may have heard a lot about the UK Government making changes to the current Benefits system. This will change the amount of benefits that some people will receive and the way they will receive them. The Your Benefits Are Changing Campaign offers an advisory service for you to find out whether you will be affected by these changes and for you to plan if you will be affected by them. Q: New housing text service A new text service is now available for housing teams. Please ensure that you update us with any new mobile numbers you have. Rents team: You can check your balance by texting Bal to the rents team number. Tenancy Management: You can text the Tenancy Management if you would like to make an application for accommodation in Carmarthenshire, Swansea or Neath, or discuss an existing housing application. If you are a current tenant you can use this service to contact Family Housing to make enquiries regarding your tenancy or to report anti-social behaviour that you are experiencing.

4 Budgeting your money Q: Debts Struggling with finances can be stressful and worrying for everyone. So when people are struggling to manage and having to deal with the minefield of jargon, it can be a confusing time. Here is some jargon explained: Debtor this is the person who owes money. Creditor this is the company or person who the money is owed to. Priority Debt there are specific debts that are labelled priority debt. This is because you can lose something or could face imprisonment if they are not dealt with. Priority debts should be dealt with first to ensure that nothing more than your finance will be lost. It is also expected that more of your money is spent on priority debts than your other debts. List of priority debts: Rent/Mortgage Council Tax Electricity Gas Court Fines T.V License Maintenance Payments Difficulties paying your rent & Service charges Remember the Rents team are here to help you if you are experiencing financial difficulties. Speak to a member of the rents team to discuss your circumstances and we will work with you to find support suitable for your needs. You can contact us as follows: Freephone Landline rents@fha-wales.com In person or in writing - 43 Walter Road, Swansea, SA1 5PN Housing Benefits You may get help with all or part of your rent if you are on a low income, whether you have benefits or a wage. There is no set amount of Housing Benefit and the amount you get will depend on: your eligible rent if you have a spare room your household income - including benefits, pensions and savings (over 6,000) your circumstances - eg age of people in the house, if someone has a disability

5 4 Q: Managing your Money If you think the changes to Housing Benefit or the introduction to Universal Credit will affect you or if you need assistance with money management, act now! Get help & prepare for the future! Many people want to remain in their homes and budget to manage additional expenditure. Family Housing can help to support our tenants to maximise their income and manage their household bills. To get a better understanding of your finances you can use this budgeting form to record what money you have coming in and going out. Don t panic here are some tips to help you: Establish your weekly/fortnightly/ monthly/4weekly income. Input the amount you spend in each category in line with your income pattern, e.g if you get paid monthly put in your monthly spend even if you make payments weekly. If you don t know a figure, check your most recent bill or contact your provider. When assessing what you spend your money on, ensure you prioritise your essential bills and pay them first. Your priority bills are coloured in red:

6 Budgeting your money Budget Planner Payment- Debts Payment made to Frequency Amounts repay debt (Weekly/fortnightly/ outstanding Frequency 4 weekly/monthly) (Weekly/fortnightly/ 4 weekly/monthly) Your income Take home pay(inc. Partner) State Benefits Child Benefits Other Income (A)Total income Expenditure Rent/Mortgage Council Tax Electricity Gas Court Fines Maintenance Payments T.V License Water Rates Housekeeping (Food etc.) Telephone / Cable Clothing T.V / Video Hire / Other Hire Buildings / Contents Life Insurance School Meals Travel (e.g taxi/ bus fare) Car Expenses (Petrol) Car Tax Car Insurance Child Care Loans (Total Amount) excluding Provident and Payday Loans. Credit/Store Cards/Hire Purchase Provident Loan (Payday Loans) Other (Please specify) Savings (Occasions) (B)Total expenditure (D)Total debt (E) Total amount paid on debts

7 (A) My total income = (B) My total expenditure without arrears = (C) What I have left to repay my debts (A-B) = (D) Total amount of debt outstanding (E) Total amount paid on my debts = (F) This leaves me with an available income of (C-D) = 6

8 Budgeting your money Q: Do you want help to maximise income? The Association s Financial Inclusion Officer, Alison Dahlgren, is here to help! If you are experiencing any problems with financial issues, debts, budgeting your income, maximising your income including Housing Benefit or concerned by any of the benefit changes highlighted in this newsletter, Please do not hesitate to call. If you require advice Alison can work with you to help resolve financial problems or refer you to an agency who can give you further assistance. Please call Alison on Q: Do you need support? Our peripatetic support service is here to help if you are having difficulties managing your home. Support available can cover Welfare Rights advice, Budgeting, Managing a home, Healthy living, Getting out-andabout, Help with taking medication, Getting in contact with other services, Applying for housing elsewhere.

9 Q: Universal Credit is coming are you ready? Universal Credit (UC) will replace: Job Seekers Allowance Income Support Child Tax Credit Working Tax Credit Housing Benefit Employment Support Allowance Income Related How will UC affect you? Your UC will be paid to you once a month via a bank, building society or Credit Union Account. You will be paid one month in arrears. This means you will be without income for approximately 5 weeks. Your UC claim will need to be applied for online via, computer, laptop, tablet and smart phone. If you have a partner you will receive one payment for the both of you. Housing costs will be paid to you and you will need to pay this to your landlord. What you should know if you are affected: Set up a bank, building society or Credit union account for your benefits to be paid into and ensure you can set up payments for bills such as Rent, Gas, Electricity, Water etc. Budget your household income and expenses early, contact your landlord for help with this. Plan and save for the 5 week period you will be without benefits while you are waiting for your first UC payment. Find a location for internet access to make your UC claim. Talk to your landlord to arrange payment of your rent and budgeting your income or if you are having problems with your finances. Please help us to help you prepare for the Benefits changes

10 Budgeting your money LASA Loans and Savings Abertawe Swansea s Credit Union A brand new FREE service For Family Housing Association Tenants! Do you want help to manage your rent and other household bills? No bank charges and no membership fees! Step 1 Step 2 Step 3 Have one or all of your benefits_ paid into your account Tell the Credit Union to pay your rent, and other essential bills from that account_ Your card will then be loaded with the money that s left. You can even get cashback when you are doing your shopping_ Credit Union opening hours: Monday to Friday 10a.m 2p.m. 139 Walter Road, Swansea SA1 5RQ Tel: query@lasacreditunion.org.uk Web: Q: Spare Room Subsidy commonly known as Bedroom Tax Spare Room Subsidy - what is it? From April 2013 the amount of Housing Benefit you receive as a social housing tenant, will not only be related to your income but also the size of the property you occupy, how many people live with you and your age and your partner s age (if you have a partner). If you are affected by the ruling, the amount of rent used to calculate your Housing Benefit will be reduced by: 14%, if you are considered to under-occupy your home by one bedroom (have one spare bedroom) or 25% if you are considered to have 2 or more spare bedrooms. These are the general rules: An adult (over 16) - 1 bedroom. A couple - 1 bedroom. A single child 1 bedroom. 2 children of the same gender and under 16 1 bedroom. 2 children under 10 of different gender 1 bedroom.

11 10 There are some cases where an extra bedroom may be allowed: When a disabled tenant or their partner requires an overnight carer, who does not usually live with them. Where there is clear medical evidence to show that a child can not share a bedroom due to severe illness or disability and need to be in receipt of middle or high rate DLA for this child. You will still be affected if: A child comes to stay at your home but the home is not the child s primary residence A couple who use their spare bedroom when recovering from an illness or operation. Parents whose children visit but the home is not the child s primary residence (Access) A disabled person, including those living in adapted or specially designed properties. What your options are: Stay and pay. Take in a lodger. Move to a smaller property in the social housing sector. Move to a smaller property in the private housing sector. Mutual exchange with another social landlord or council tenant. The Housing Department has been working hard to assist our tenants through this benefit change. These statistics speak for themselves: 62 households have been assisted and awarded Discretionary Housing Payments. 58 households have registered with Homeswapper. 5 Households have been moved in Swansea/Neath & Port Talbot area. 138 households not in arrears prior to 1/04/ households in rent arrears as at 18/08/13. The HomeSwapper Scheme is a free on line national home swap service, to help you swap your home with another tenant anywhere in the UK. Over 203 of Family Housing tenants have already registered and are receiving weekly alerts of potential new swaps by or text. The Association has assisted 17 matches and successful moves in the last 12 months where 13 of the successful moves were affected by the Spare Room Subsidy. You can join HomeSwapper by registering on if you do not have access to a computer you can register by contacting us on and we can help you.

12 Budgeting your money Q: Discretionary Housing Payments (DHP) Discretionary Housing Payments are additional payments for people receiving Housing Benefit who need extra financial help. What DHP covers? Shortfall between rent charge and housing benefit entitlement. Each case is assessed before this can be awarded. A rent deposit or rent in advance for a property you are yet to move into but you must be entitled to Housing benefit already in your current home. Is there anything DHP will not cover? Ineligible service charges Increases in rent due to outstanding arrears Reductions in any benefit due to sanctions or benefit related offences Suspended Housing benefit Rent, when you are getting Council Tax support but no Housing Benefit. Shortfall caused by overpayment recovery To apply for DHP please contact your local Housing Benefits office. Q: Discretionary Assistance Fund (DAF) DAF is taking the place of Community Care Grants and Crisis loans. Within the scheme there are two types of non-repayable grant support: Emergency assistance fund to assist in an emergency or where there is threat to health or well-being. Anyone over 16 to help meet expenses due to emergency or disaster. Individual Assistance Payments to meet urgent needs to help vulnerable people to establish a home and live independently.

13 12 Q: Non Dependant Deductions (NDDS) These charges are nothing new and affect Housing Benefit claimants where another adult living in their home is not their partner. People who are registered blind Claimants of the care component of disability living allowance or attendance allowance Claimants of pension credit People under 25 and claiming Job Seekers Please find below the table of non-dependant charges for people working 16hrs + Under or over Q: What is the Benefit Cap? From 15th July 2013 a cap has been introduced on the total amount of benefit that working age people can receive. The cap restricts benefits to: per week for couples with children and lone parents per week for single adults. You will be exempt from the benefit cap if you, your partner or any children you are responsible for receive or are entitled to the following benefits: Working Tax Credit Disability Living Allowance Personal Independence Payment (PIP) From April 2013 Attendance Allowance Support component of ESA Industrial Injuries Benefits (and equivalent war disablement pensions a and payments under the Armed Forces Compensation Scheme) War Widows and War Widowers Pension Claimants who have been in employment for 52 weeks or more when they claim benefit will be exempt from the cap for a Grace Period of up to 39 weeks.

14 Budgeting your money Q: Personal Independence Payments (PIP) Anyone currently claiming Disability Living Allowance will have to claim Personal Independence Payments (PIP). PIP will be assessed in two parts Daily Living and Mobility and will have two rates: Standard Rate and Enhanced Rate. If you qualify for the Daily Living then you are entitled to apply for Carer Allowance. Who Can Qualify? Claimants of working age, between years old Have a disability for at least 3 months prior to application that is expected to last for at least 9 months Be a UK resident with the right to remain, and not be living abroad for more than 12 weeks a year Who Can Qualify? All new claimants or existing claimants whose circumstances change will have to claim PIP from April Other existing claimants will be gradually moved from DLA to PIP from Failure to respond to your invitation to claim PIP within 4 weeks will result in your DLA payments being suspended. Please note that it can take between weeks between claiming this benefits and receiving a decision on PIP payments.

15 Q: Supporting People Team Supporting People can help people who live in Sheltered Housing or are receiving support services. Supporting people have a funding arrangement which assists tenants to pay Support Services. These arrangements are known as Supporting People. Rent in Sheltered Housing Schemes is now broken down into 3 parts. Rent Payment for individual flat. Service Charge Payment for other services e.g communal areas and lifts. Support Costs Payment for the tenancy support worker or alarm systems. Supporting People may be able to help pay the Support Costs. Q: Contact Details Supporting People Team 17 High Street Swansea SA1 1LF supporting.people@swansea.gov.uk Supporting People Team (Neath Port Talbot) 1st Floor Civic Centre Neath SA11 3QZ supportingpeople@npt.gov.uk Independent Living and Affordable Homes Team Ty Elwyn Llanelli SA15 3AP supportingpeople@carmarthenshire.gov.uk Ceredigion Social Services Minaeron Rhiwgoch Aberaeron SA46 0DY dss.supportingpeople@ceridigion.gov.uk

16 Budgeting your money Q: Useful telephone numbers: Shelter Cymru Phone: Welsh Tenants Phone: Citizen Advice Phone: Step Change Debt Advice Phone: Advice UK Phone: Department Of Work and Pensions Phone: Your Benefits Are Changing Phone: Disability Wales Phone: National Debtline Phone: Age Cymru Phone: Community Legal Advice Phone: Money Advice Service Phone: Universal Credit Phone: Homeswapper Turn 2 Us Phone: Care and Repair Cymru Phone: Family Housing Association Rents Phone: or Freephone rents@fha-wales.com Family Housing Association Tenancy Management Phone: lettings@fha-wales.com Family Housing Association Repairs Phone: repairs@fha-wales.com