HOW MUCH WILL YOU GET? Universal Credit payments will combine a standard allowance with any extra amounts that may apply.
For example, you may qualify for the additional payments if:
- You have children.
- You have a disability or a serious health condition.
- You need some financial help to pay your rent.
Universal Credit replaces several other benefits. The new benefit system will assess your circumstances each month. That means it can change how much you get paid.
Note: The Social Security benefits calculator is an online tool that helps you check how much you could get. But, be aware that the benefit cap puts a limit on the total amount of benefit you can receive.
Universal Credit Rates: Standard Allowance
| Your Personal Circumstances | Standard Allowance (per month) |
|---|---|
| Single (under 25 years old) | £265.31 |
| Single (25 years and older) | £334.91 |
| A couple (both under 25 years old) | £416.45 (single payment per household) |
| A couple (one partner is 25 years or older) | £525.72 (single payment per household) |
Universal Credit Extra Amounts
In some cases, more money will get paid on top of the standard allowance. Check the table to see if you qualify for extra payments.
Extra Payment per Month for Claimants with Children
| The Circumstances | Extra Amount per Month |
|---|---|
| For the first child | £290 (born before the 6th of April 2017) |
| For the first child | £244.58 (born on or after the 6th of April 2017) |
| For the second child | £244.58 per child |
| For a disabled or severely disabled child | £132.89 or £414.88 |
| For those needing help with childcare costs | Up to 85% of the childcare costs (Up to £646.35 for one (1) child and £1,108.04 for two (2) or more children) |
As a general rule, you will only get the extra amount for having more than two (2) children if:
- You have an existing claim for more than two children made before the 6th of April 2017.
- You are renewing a claim for more than two children that had stopped within the past six months.
- The special rules for Universal Credit and families with more than 2 children apply to you.
The extra amount may apply for someone who starts caring for another child. It would depend on when the child was born and the number of children they have.
Disability or Health Condition (or caring for an adult who has)
| The Circumstances | Extra Amount per Month |
|---|---|
| If you have limited capability for work and work-related activity | £354.28 |
| If you have limited capability for work and started Universal Credit or Employment and Support Allowance claim before the 3rd of April 2017 | £132.89 |
| If you are caring for a disabled person (minimum 35 hours a week) | £168.81 |
Additional Payment for Housing Costs
The new Universal Credit benefit system may provide money to help pay for housing costs. The amount you get would depend on your age and your circumstances. But, if you get it, the payment can cover:
- Rental payments.
- Mortgage interest.
- Some service charges (if you are renting from a local authority or a housing association).
- Interest on a loan secured against the home.
How Earnings affect Universal Credit Rates
Being employed means your Universal Credit payments will reduce as you earn more. Thus, the payment reduces by 63 pence for every one pound that you earn (the taper rate will drop to 55 pence by December 2021). There is no limit on the number of hours you can work.
A benefits calculator will show how increased working hours, or starting a new job, might affect the amount you get. But, a different set of rules apply for self-employed workers.
Universal Credit Amount: Work Allowance
You can earn a set amount before Universal Credit gets reduced providing you (or your partner) either:
- Have the responsibility of caring for a child or a young person.
- Have a disability or a health condition that affects your ability to work.
This part of the system is also called a ‘work allowance’. It will be lower if you are also getting help with housing costs.
| Your Personal Circumstances | Work Allowance (per month) |
|---|---|
| You are getting help with housing costs | £344 |
| You are not getting help with housing costs | £573 |
An Example: You have one child and get extra money for housing costs in the Universal Credit payment. You earn £500 from a job during the assessment period.
The work allowance would be £344. Thus, you can earn £344 without any money getting deducted.
For every £1 of the remaining £156 earned, 55p gets taken from the Universal Credit payment. The calculation would be £156 x £0.55 = £85.80. Thus, you would be earning £500 and £85.80 would get deducted from your Universal Credit.
Other Financial Support Available
Note: Some people may also qualify for other financial support while getting Universal Credit. As a rule, it would depend on the circumstances and where you live.
ALSO IN THIS SECTION
Universal Credit Rules: An overview explaining what the Universal benefit system is and how it works.
Universal Credit Eligibility: Most people will qualify if they are on a low income or they are out of work.
How to Claim Universal Credit: You must apply online and as a couple if you are living with your partner.
Universal Credit Payments: Check how long it takes for the first payment and how often they get paid.
Advance on First Payment: Find out how to get an advance payment to help cover essential living costs.
Your Responsibilities: The ‘Claimant Commitment’ is the agreement made with your UC work coach.
Reporting Changes: You must report a change of circumstances while you are getting Universal Credit.
Other Financial Support: Help is available from various other organisations if you are having difficulties.