Jobseeker's Allowance - Income-based

Income-based

The payment of money to individuals on low-incomes, who would otherwise be in a condition of some kind of deprivation is a kind of social assistance.

People who are not eligible for JSA(C) may claim Income-based Jobseeker's Allowance, JSA(IB), which is means tested for each individual claimant and/or their dependents. People who are eligible for JSA(C) may also claim JSA(IB) for any additional payments due under that benefit (for family dependents, for example). JSA(IB) is payable only if the claimant has less than £16,000 in savings (correct as of July 2006). Payments are reduced if the claimant has savings between £6,000 and £16,000.

Both forms of benefit face 100% marginal deductions if the individual earns more than a small amount - the 'disregard' - this is £5 per week for single people, £10 per week for couples and £20 per week for certain other groups such as some lone parents and disabled people. The 'disregard' has remained at the same nominal amount since the 1980s and has never been uprated with inflation, unlike benefits themselves. The benefit is withdrawn from those working 16 or more hours a week (though this does not apply to voluntary work). Part-time students can claim provided they do not have more than 16 hours a week in teacher contact time and the course is not officially designated as full-time by the college (irrespective of the number of hours of contact time).