How Universal Credit Works?
What would I recieve?
You will normally receive one monthly payment to cover your living costs. You and your partner will get one payment between the 2 of you if you claim as a couple. The payment is made up of a basic standard allowance and extra payments that might apply to you depending on your circumstances.
When might I get extra payments?
You might be able to get extra payments if you:
- look after one or more children
- work and pay for childcare
- need help with housing costs
- are disabled or have a health condition
- are a carer for a disabled person or you have a disabled child
Who is UC for?
Universal Credit is for working-age claimants and is slowly replacing 6 legacy benefits. e.g. Housing Benefit. Universal Credit is paid monthly, mostly paid directly to the claimant and it is their responsibility to pay their rent to their landlord.
Am I entitled to the Housing element?
You may be entitled to the housing element of Universal Credit because of your low income. The amount of housing element you are entitled to will depend on your circumstances, such as you or your partner’s salary, the number of bedrooms you have (see bedroom tax), and if you have any non-dependants in your home.
Use here to check if you are entitled to or better off on Universal Credit.
I get help with my rent
If your UC payment includes help with rent, you will have to pay your landlord each month from your Universal Credit payment. If you are in debt, have rent arrears or you’re struggling to manage your money you can ask the DWP to pay the rent directly to your landlord.
I am working
Universal Credit and Earnings
You can claim Universal Credit if you are working. As your earnings increase, your Universal Credit payment will usually reduce gradually. If your earnings decrease or your job ends, your Universal Credit payment may increase.
There are two earnings thresholds that affect the work-related requirements you may have:
Administrative Earnings Threshold (AET)
The Administrative Earnings Threshold (AET) determines the level of work-related requirements that apply to you.
From 1 April 2026, the AET is:
– Single claimant: £991 per monthly assessment period.
– Couple: £1,597 combined per monthly assessment period.
The AET is based on your earnings before deductions for Income Tax, National Insurance and eligible pension contributions.
If your earnings are below the AET
If you are a single claimant and earn below the AET, you will usually be expected to:
– Actively look for more or better-paid work.
– Be available for work.
If you are part of a couple and your combined earnings are below the couple’s AET, both partners will usually be expected to:
– Actively look for more or better-paid work.
– Be available for work.
You will also receive regular support from a Work Coach, who can help with job searching, interview skills, training opportunities and connecting you with employers.
If your earnings are at or above the AET
If your earnings meet or exceed the individual AET, or you are part of a couple whose combined earnings meet or exceed the couple’s AET, you will not usually be required to attend regular Work Coach appointments. However, you can still ask for support if you would like help to increase your earnings.
Conditionality Earnings Threshold (CET)
The Conditionality Earnings Threshold (CET) is based on the number of hours you are expected to work or take part in work-related activities. This is determined by your individual circumstances and is usually based on up to 35 hours per week.
The CET is calculated using the National Living Wage or National Minimum Wage, depending on your age.
– If your earnings are between the AET and your CET, you will usually not be required to attend regular Work Coach appointments, although support remains available if you request it.
– If your earnings are at or above your CET, you are generally considered to be working enough and will not usually have any work search or work preparation requirements.
Universal Credit Advance Payment
Your first Universal Credit payment is usually made around five weeks after you submit your claim.
If you do not have enough money to live on while you wait for your first payment, you can apply for a Universal Credit Advance.
Want to speak to someone about your UC? Call the UC Helpline on 08003285644
What is UC Managed Migration?
What is managed migration?
The Department for Work and Pensions (DWP) has now completed the managed migration programme for most working-age claimants receiving legacy benefits.
Managed Migration was the process of moving people receiving legacy benefits, such as Housing Benefit, Income Support, income-based Jobseeker’s Allowance (JSA), income-related Employment and Support Allowance (ESA) and Tax Credits, onto Universal Credit.
Most claimants were sent a Migration Notice by post, explaining when they needed to claim Universal Credit. Claimants who moved to Universal Credit following a Migration Notice may have qualified for transitional protection to help ensure they were not worse off at the point of transfer.
Legacy benefits have now been closed to most working-age claimants, and new claims for these benefits can no longer usually be made. Universal Credit is now the main benefit for people of working age who need financial support. However, some people remain entitled to Housing Benefit, including many people who have reached State Pension age and some people living in specified or temporary accommodation.
What will happen?
On receipt of a Managed Migration Notice HB claimants need to start their migration process within three months of the date of the notice, and before the stipulated deadline day.
The DWP will send HB claimants reminder notices to remind them to make a UC claim by the deadline day. You will receive 2 weeks of extra HB payments if you claim within the deadline date. However, you will lose these payments if you fail to make a claim for UC before the migration day deadline date in the migration notice
I receive HB, should I migrate now?
HB recipients should not do anything until they receive their Managed Migration Notice. You may lose money if you claim Universal Credit too early. You can check yourself if you’re better or worse off on UC by using a Better off Calculator https://hexagon.org.uk/money-matters-2/better-off-calculator/
You will not be moved onto UC automatically, so it’s essential to follow the instructions in your migration notice. Otherwise, your benefits will stop.
How do I make a claim?
The DWP expects UC claims to be made online and the migration notice explains how the process works. However, telephone claims can be made in exceptional circumstances.
How can Hexagon support me with the migration?
We’re completing a very quick questionnaire with residents on HB. These questions will help us find which residents need support and the best ways to help them.
Our Money Support Team are also on hand to help with any problems that you experience because of moving over to UC. Contact us on 020 8778 6699 or moneysupport
I need help with my claim
For Help with your claim
Call the free UC helpline on 0800 328 5644 Or Call Help to Claim on 0800 144 8444