Inheritance & benefits

Verney

A friend of mine has just received an inheritance, enough to purchase a small house for her and her 5 kids. On her own she is currently receiving an allowance towards rent along with dole. She wants to purchase a house with the small figure received (to stop receiving her rent allowance from sw) although she is dependent on her weekly dole until she can work again but is afraid that she will loose all benefits if she makes sw aware that she has received the inheritance.

I'm sure people on sw benefits have received inheritancein the past have they declared it? My friend wants to declare it, put all the cash towards a house for her & her children although is very afraid that she will be penalised for doing so.

We would both appreciate information from anybody that can help, even Citizens Advice dont seem to have any productive information or advice.

Thank you in advance.

tenchi-fan

As it stands, she came into a lot of money and isn't entitled to anything from social welfare because she has the means to provide for herself ...pay rent, bills, etc.. the deciding officer may decide otherwise if she says the money is earmarked for a house but I'm not sure how this works.

She does have to declare it.. suggesting otherwise is fraud.

The family home isn't taken into account for social welfare means tests so my first thought would be to lump the whole lot into a property and keep €20k out to avoid being means tested, then stop claiming rent allowance.

Verney

Thank you. She does want to declare the income, the complete inheritance will go on the purchase of her new house so there wont be anything remaining. She has found a property to purchase already in a different County, and has also just received her cheque. Should she go to her current sw office and tell them she inherited the money before or after she purchases the property.

Thank you again

Clauric

It depends:

1. If she is receipt of BENEFITS, she does not need to declare it, as benefits are not means tested, but entitlements e.g. Jobseekers Benefit, Illness Benefit, etc
2. If she is receipt of ALLOWANCES, she must declare it, as allowances are means tested e.g. Jobseekers Allowance, Disability Allowance, etc.

I would suggest that she contacts the SW office and explain the situation.