Job Seekers Allowance

Published / Last Updated on 27/06/2010

Award Winning Financial AdvisersJob Seekers Allowance - What state benefits am I likely to receive if I am made redundant?

Job Seekers Allowance:

Provided you "sign on" as being available for work you will normally be entitled to 'Jobseekers Allowance'.

There are two types of allowance:

  • Contribution-based job seekers allowance
  • Income-based job seekers allowance

Contribution-based Job Seekers Allowance is only available for people who have paid enough National Insurance contributions whilst working. It is not means tested and is only paid for a maximum of 26 weeks. If you have still not obtained suitable employment after 26 weeks you are then switched to 'income-based' allowance.

If you receive a statutory redundancy payment, it will not affect your entitlement to contribution based Job Seekers Allowance.  Why not try our redundancy payments calculator?

Income-based Job Seekers Allowance is paid to those who are not eligible for 'contribution-based' allowance.  It is means tested. In simple terms, having reasonable savings or investments usually means you cannot get income-based job seekers allowance. If your partner works over 24 hours a week or more you also cannot usually get this allowance.  Quite simply, if you have savings or your partner works you may be left to fend for yourself. After having overcome these and other hurdles, you may then be entitled to financial help. 

Request redundancy advice today or visit our Money Shop and choose your own guidance.

Get award winning advice from our experts today  Make money work harder for you with commission free discounted products Get a yearly wealthcheck with our Money MOT service