Chapter 22: How income affects means-tested benefits
This chapter explains how much weekly income is taken into account when working out your entitlement to income support, income-based jobseeker’s allowance, income-related employment and support allowance and housing benefit. For information on how income affects universal credit, see
Chapter 21. Although tax credits are also means tested, the way student and other income is assessed is different (see
Chapter 23). See
Chapter 24 for how your income is assessed for health benefits.
Basic facts
– Student loans for living costs are normally divided over 42 or 43 weeks from the beginning of September to the end of June and taken into account as income for means-tested benefits during that period. If your income is too high, you do not get income support (IS), income-based jobseeker’s allowance or income-related employment and support allowance during those weeks, and your housing benefit (HB) is reduced.
– Student loans for living costs are normally not taken into account as income for means-tested benefits from around the end of June until the beginning of September. You may be able to get IS or more HB during these months, even if your income was too high during the academic year.
– Some student support does not affect the amount of means-tested benefits you can receive.