Does a pension count towards parents earned income?

Hi,

I'm filling out student finance and my dad has retired and receives a pension - should I enter his pension amount in my parents combined income or leave it with just my mothers income? I've tried looking around but cannot find an answer.

Thanks

Reply 1

Shani

I believe it is taxable income, but not earned income. I'm sure someone will come along and correct me if I'm wrong.

Reply 2

The Phelps

Pension counts as income as you have to pay income tax if it's over the limit. So yes I would safely assume that pension does count as income for student finance.

Reply 3

Shani

Income yes, but it's *EARNED* income SF are concerned about.

Reply 4

malcolmallison

A pension counts ,towards a parents income. It has to be declared in t,he section that is not concerned with earned income. It counts as much as investment income. For my daughter's application my pension had to be declared on the form.
Shani is totally wrong on this occasion.

(edited 12 years ago)

Reply 5

Shani

Original post by malcolmallison

I don't see what part I'm wrong about?

I've not stated it doesn't need to be declared at all - I've merely stated it *is* income, but it is *not* earned income.

Reply 6

malcolmallison

stop trying to be clever. You clearly infer that it does not need to be declared, when it does. You actually state SFE are not concerned about it when they are.

Reply 7

Shani

Someone pi$$ on your chips today?

I clearly said it is not earned income. And I clearly answered the OP's question which asked whether a pension is earned income or not. I fail to see what part of my post clearly infers it doesn't need to be declared. As far as the OP's question asked (if it needed to be added in that section) I am 100% right.

(edited 12 years ago)

Reply 8

DoctorJay

Thanks Shani,
I've looked into it and you're right -
It does have to go on the form but it doesn't count as *earned* income.

Reply 9

Shani

As you will see, the other poster in the thread has subsequently been banned.

I'm glad I was of some help.

Reply 10

littleone271

My gran lives with us and she's an 80 yr old pensioner but I havn't declared that.. Should that be a problem? It never said anything about it on the form, it just asked for the income of my mum and her partner. There were no questions about anybody else living with us or anything like that I don't think..

Reply 11

Shani

No, you wouldn't need to include your gran's income.

Reply 12

amabella

I know this is an old thread but maybe you can help, my step dad has partly retired and has a small pension (that subsequently makes the difference between me getting enough loan to live on and getting so little that my parents will have to fork out about £3000 a year so i could live at uni).

so my question is will student finance count the pension as income in a way that it will not be considered to be part of the income that matters to how much grant I am entitled to?

Reply 13

balotelli12

no, it will be considered and if it takes you over the threshold you will not get a grant.

Reply 14

robin jones

Pensions are earned. The pension money is deducted from salary (net effect even if couched in other terms) and tax is paid at a later date i.e. when you draw your pension and if you are subject to tax under the rules, say if the pension is more than the personal allowance. So, it is EARNED income. It does need to be declared.

Reply 15

robin jones

you are wrong Shani.

Original post by robin jones

Original post by Shani

I don't see what part I'm wrong about?

I've not stated it doesn't need to be declared at all - I've merely stated it *is* income, but it is *not* earned income.