Inheritance & Council flat

stateofflux

Hi.

A relation of mine who is currently in part time employment has been living in a Council flat for the last 10 years paying council rent.

Her Mother died recently and she was told she would receive €30,000 from the will.

She is concerned about how this will affect her means in regards to her Council flat eligibility.

Would anyone know where i could find some information about this ?

any help appreciated

Cuddlesworth

My understanding is that savings only account for eligibility on application and receipt of the property. In other words, since she is in the flat, she could be a millionaire and still be entitled to live there on council rates.

The_Conductor

There are three separate issues here-

1. The local authority dwelling that your friend is in
2. The rent she is paying
3. Any other payments she is in receipt of.

Anyone can live in a local authority dwelling- however, the amount they pay in rent will vary depending on their assessed means.

This is whats known as 'differential rent rates'.

In general- you have two things that are looked at- your current income, and any other assets or means at your disposal.

Typically the first 15k of an asset (inheritance or whatever) is discounted, and only amounts above this are considered for the purpose of determining a new 'differential rent' rate.

The other part of the equation is of course- any other payments she might be in receipt of. Any of these payments that are means based- will be reduced as she has new means.

Your friend will have to inform both the local authority and DSP of her inheritance and allow them both to figure what her new level of entitlements might be- and what an appropriate level for her rent might be.

Do notify both- they're doing a crack-down on people who don't notify- there is a whole section in DSP dealing with overpayments- its no fun having to take out to try and resolve this after the fact.

Mrs OBumble

Whose name is on the lease of the property where she is living? If it's her name, then i don't think there's an issue.

stateofflux

Mrs OBumble wrote: »

Whose name is on the lease of the property where she is living? If it's her name, then i don't think there's an issue.

Its in her name. she lives alone

stateofflux

The_Conductor wrote: »

There are three separate issues here-

1. The local authority dwelling that your friend is in
2. The rent she is paying
3. Any other payments she is in receipt of.

Anyone can live in a local authority dwelling- however, the amount they pay in rent will vary depending on their assessed means.

This is whats known as 'differential rent rates'.

In general- you have two things that are looked at- your current income, and any other assets or means at your disposal.

Typically the first 15k of an asset (inheritance or whatever) is discounted, and only amounts above this are considered for the purpose of determining a new 'differential rent' rate.

The other part of the equation is of course- any other payments she might be in receipt of. Any of these payments that are means based- will be reduced as she has new means.

Your friend will have to inform both the local authority and DSP of her inheritance and allow them both to figure what her new level of entitlements might be- and what an appropriate level for her rent might be.

Do notify both- they're doing a crack-down on people who don't notify- there is a whole section in DSP dealing with overpayments- its no fun having to take out to try and resolve this after the fact.

Many thanks for the info