Benefits and help when going back to work

If you return to work after being on benefit, some of your benefits will stop automatically straight away. Some will carry on for a short while after you start work to tide you over. You may be able to get other benefits once you're working.

Help with housing costs

If you were getting help with your housing costs while you were out of work, you may carry on getting this. This is if you have claimed income-based Jobseeker's Allowance, income-related Employment and Support Allowance or Income Support for at least 26 weeks continuously before starting work. You may then continue to get the following benefits for up to four weeks:

Benefits you may be able to claim include:

  • Extended Housing Benefit
  • Mortgage Interest Run On

To claim, tell your Social Security / Jobs and Benefits office about your change in circumstances.

If you're on a low income in your new job, you may still qualify for help with your housing costs even though you're back at work.

If you are a home owner and have to reclaim benefit you may not hav to wait until you get help again with your mortgage costs.

Tax credits

A tax credit is a payment that you receive regularly. Despite the name, it isn't a credit against your tax bill. Nine out of ten families with children are eligible for Child Tax Credit.

If you're working more than 16 hours a week and you're on a low income, you may be able to get Working Tax Credit too.

Tax credits may also be able to help with the costs of your childcare if you:

  • work for at least 16 hours per week
  • worked more than 16 hours per week before going on adoption, maternity, paternity or sick leave
  • Find out more about tax credits

Job Grant

Job Grant is a one-off tax-free payment you may get when you start working and stop getting benefits. You may be entitled to Job Grant if you start work for at least 16 hours a week and you expect your work to last for at least five weeks. You must also have been claiming one of the following benefits continuously for at least 26 weeks before starting your new job:

  • Jobseeker's Allowance
  • Employment and Support Allowance
  • Income Support
  • Incapacity Benefit
  • Severe Disablement Allowance
  • Training/New Deal Allowance/Steps to Work payments where the allowance is based on Jobseeker's Allowance, Income Support, Incapacity Benefit, Employment and Support Allowance or Severe Disablement Allowance

If you have a partner and they start work over 24 hours, removing the entire family unit from benefit, they may be eligible for a job grant payment. The amount of Job Grant you'll get depends on your circumstances:

  • £100 if you're a single person or part of a couple with no children
  • £250 if you're a lone parent or part of a couple with children
  • Job Grant  

Return to Work Credit

Return to Work Credit provides financial support during your first year of work if you have, or have had, a health condition or disability or you are a single parent and have claimed a relevant benefit. You must claim within five weeks of starting work.

It is a tax-free payment of £40 a week paid direct to you on top of your wages, for up to 52 weeks, if:

  • you work for 16 hours or more a week
  • you expect your personal annual salary before deductions to be £15,000 or less a year

If you are self-employed your expected income from trading less allowable expenses should be £15,000 or less a year. Your income includes any wages or drawings from income.

You can find out more or get a claim form by contacting your local Social Security / Jobs and Benefits Office

Travel-to-interview scheme

In certain cases theDepartment for Employment and Learning may be able to help you pay to get to your job interview. This is called the travel-to-interview scheme.

Shortened claim process for Income Support or Jobseeker's Allowance

If your Income Support or Jobseeker's Allowance claim ended less than 26 weeks ago and there has been no change to your circumstances your claim to benefits may be simpler and shorter.

To make a claim for Jobseekers Allowance or Income Support contact your local Social Security/ Jobs & Benefits office

The following are not considered as a change of circumstances:

  • you or someone you are claiming for is now pregnant
  • tax credits have been claimed or awarded

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