Martin Lewis has urged more than half a million people to check if they’re now eligible for Universal Credit.
The MoneySavingExpert founder explained how changes to the controversial benefit have just come into effect.
The first change is to the taper rate, which is how much your Universal Credit gets reduced by for every pound you earn through work.
This has been lowered from 63p to 55p - allowing those who are in work to keep more of their hard-earned cash.
The final change is to the work allowance, which is the amount some claimants can earn before the taper kicks in.
This has been raised by £500 per year and usually applies to those with children or limited capacity to work.
Both changes will see payments rise for around two million people who already claim Universal Credit.
But the adjustment to the work allowance also means around 500,000 people are now eligible for a small benefit payment.
Speaking on his ITV show last night, Martin said it is worth spending “just five minutes” checking if you can now claim.
The MoneySavingExpert founder said his “very rough rule of thumb” is to do a quick check if your family income is below £30,000 - or £50,000 if you’ve got at least two kids and high rent.
Are you now entitled to Universal Credit - and will it make a difference to you? Let us know: mirror.money.saving@mirror.co.uk
Martin said: “The thing called the work allowance is how much you can earn before they start to reduce your universal credit - and that has just gone up.
“Some people can earn more and still get Universal Credit - but it also brings around half a million households who don’t get benefits into Universal Credit, so you now can [claim].
“My very rough rule of thumb is I’d definitely check if you’ve family income under £30,000. I’m not saying you’ll get it - I’m saying it is worth checking
“In fact, if you’ve got a couple of kids and high rent, you might be able to get it [if you earn] under £50,000.”
How to check if you're eligible for Universal Credit
If you've never claimed Universal Credit before, you can use a free online calculator to see if you'd be eligible.
You can use the free calculator below from debt charity Turn2Us to check your details:
To use a benefit calculator, you'll need to input information about yourself and your circumstances - for example, your earnings, any savings you have, and who you live with.
You’ll need to answer as accurately as possible in order to get a correct figure.
How is Universal Credit calculated?
Universal Credit can be tricky to calculate, and payments can fluctuate month-to-month if your earnings change regularly.
The amount you are eligible for is made up of a standard allowance and any extra amounts that apply to you.
For example, if you have children, a disability or a health condition.
Your Universal Credit is then subject to deductions based on your savings and, if you are working, how much you earn.
DWP bosses look at your circumstances each month - known as your assessment period - to see how much you’re entitled to.
