If you have a zero hour contract or work varying hours, the housing benefit office should work out your average income to calculate how much housing benefit you are entitled to.
Working out your housing benefit
You're usually entitled to the same amount of housing benefit every week if you get any of the following benefits:
- income-based jobseeker's allowance (JSA)
- income-related employment and support allowance (ESA)
- income support
This might still be less than your rent. You can apply for a discretionary housing payment to make up any shortfall.
If you don't get any of these benefits and your income changes frequently, the housing benefit office uses your average wage to work out how much housing benefit you get.
If you're of working age, your average wage is calculated by looking at:
- 5 payments if you're paid weekly
- 2 payments if you're paid monthly
The council should calculate your earnings over a different period if it gives a fairer result.
Your housing benefit is reduced by 65p for every £1 you earn above the amount you’d receive in benefits if you weren’t working
Your housing benefit can also be reduced if:
Report your changing income
You usually don't have to report every change in your income if the council works out an average wage to calculate your housing benefit because your wages vary.
But you must report changes that mean that your average income is likely to go up or down.
Ask your local council to confirm in writing:
- which changes you should report
- how often you should provide proof of earnings
Some councils allow online or email submissions. You can also send information by post or deliver it by hand.
If your income is always changing you should tell the council at least every four weeks what you have been paid.
If you don't report the changes, you could be paid too much housing benefit and you'll have to pay this money back.
Make sure you keep detailed records of your earnings. This helps you submit accurate records and avoid overpayments or underpayments.
Keep your payslips, P60s and P45s in a safe place. Get a folder and file your records in date order. Note which ones you have submitted to your council.
Keep copies of anything you send to the council as proof.
Claim other benefits if you work
Help with budgeting
Managing an income that goes up and down is a challenge.
Still need help?
Last updated 31 Jan 2019 | © Shelter
If you need to talk to someone, we’ll do our best to help