Get Relief from Financial Stress with the Cost of Living Payment for Low-Income Individuals
As a low-income individual, it can be challenging to make ends meet. The government provides several benefits and tax credits to help people in such situations. One of the benefits is the Cost of Living Payment, which is available to people receiving certain benefits or tax credits.
The Cost of Living Payment is a one-time payment made to individuals who receive income-based Jobseeker’s Allowance (JSA), income-related Employment and Support Allowance (ESA), Income Support, Pension Credit, Universal Credit, Child Tax Credit, or Working Tax Credit on specific dates. The payment amount varies depending on the benefit or tax credit received, with payments ranging from £299 to £301.
One of the great things about the Cost of Living Payment is that it is not taxable and will not affect the benefits or tax credits you receive. This means that you can use the payment to supplement your income without worrying about being taxed or losing any of your benefits.
It’s important to note that the Cost of Living Payment is separate from your regular benefit or tax credit payments. This means that you will receive the payment as a separate payment on top of your regular benefits or tax credits.
However, it’s worth noting that not everyone who receives the benefits or tax credits listed above will be eligible for the Cost of Living Payment. For example, individuals receiving New Style ESA, contributory ESA, or New Style JSA will not be eligible for the payment.
If you are eligible for the Cost of Living Payment, it can be a significant help in managing your finances. Whether you use the payment to pay off bills or to treat yourself to something special, the payment can provide a bit of relief for low-income individuals.
The Cost of Living Payment is a helpful benefit for those receiving certain benefits or tax credits. If you think you may be eligible for the payment, it’s worth contacting your local job center or benefits office to find out more information.
It is important to check if savings are protected by the Financial Services Compensation Scheme, the UK’s deposit guarantee scheme. At present the guaranteed amount is £85,000.