Universal Credit – Maxaad ka ogtahay?

[NGONGE]

Starting this autumn the British government is introducing a new benefit system to replace the old one for those on low incomes or out of work. From a Somali (Brits) point of view, this is likely to wreak havoc on many households and have many positive and negative consequences.

 

So what is Universal Credit?

 

Well, the government defines in the following way:

 

 

Universal Credit is a new single payment for people who are looking for work or on a low income.

 

Universal Credit will help claimants and their families to become more independent and will simplify the benefits system by bringing together a range of working-age benefits into a single streamlined payment. The new Universal Credit system aims to:

 

 

• improve work incentives

• smooth the transitions into and out of work, supporting a dynamic labour market

• simplify the system, making it easier for people to understand, and easier and cheaper for staff to administer

• reduce in-work poverty

• cut back on fraud and error.

 

 

It will be launched in 2013 and will replace:

 

• income-based Jobseeker’s Allowance

• income-related Employment and Support Allowance

• Income Support

• Child Tax Credits

• Working Tax Credits

• Housing Benefit.

 

 

What is positive about the system is that it will allow those seeking work the safety net of claiming benefits without having to fill in a new application every time they are out of work. It also allows them to work part time without losing their benefits (which was not the case in many instances in the past). Of course, some of this may not seem too positive for eedo Asli who is below retirement age but is too old for learning new skills (or even the language).

 

 

In addition, the introduction of this system will probably limit the ability of some individuals to defraud the government or claim multiple benefits under different names (at least in theory). Further still, with the payments being made monthly (rather than fortnightly) and with the responsibility for paying rent being put on the individual, this new system gives people the chance to mimic the everyday life of an employed person and have an actual responsibility to deal with some monthly tasks rather than rely on the government to pay their rents and other expenses. Some might say it’s liberating!

 

 

The negatives of this system will be felt mostly by those with little literacy (written and digital) or those who spend their lives cheating the system. Another problem that may arise and may play a big part in eliminating the “bac madow” problem in Somali households is that only one person will have sole responsibility for the family income and will receive the benefits in their bank account. Therefore, if Somali women, happen to be hostage to love at the time the application is made and agree to have their men being the “head of the household” at the time, they may later discover that they may become beholden to these men when the mood turns sour (as their sisters are back in the motherland). I am yet to decide if this is a positive or negative aspect of this change.

 

 

Still, lest any smug (and every employed) readers believe this change only applies to the unemployed or those in lower incomes, let me inform you that such is not the case. The Inland Revenue (IRS for our American readers) have also introduced RTI (Real Time Information) for all employers and the self employed. This is a system in which every employer will have to report the earnings of all their employees in real time. This will mean that the government will know exactly how much any person has earned in any given month and could therefore apply the correct tax codes and demand the correct amounts of tax to be paid. It also means that the crafty “ciyaalka xaafada” will struggle to be a secret tagsiile on the weekend whilst claiming benefits for the rest of the week without openly declaring it. It also means that any extra jobs you do from time to time will be logged and accounted for.

 

There is much more to learn about this system and many problems it throws and will throw up but I think this should be enough to go on with for now.

 

p.s.

People will have to fill in their applications, manage their accounts and track their payments ALL on line. Which is why I truly fear for eedo Asli!

[nuune]

Eedo Asli iyo eedo Timiro wey u dhamaatey, they better take and exit their ayuuto/hagbad early otherwise lugahaa laga murxi sidii duqsi gaajeysan oo la yiri buuxi form online ah

[Juxa]

Ceyrta oo la jaro could be very good thing for our community. it will restore happiness in many households

[Alpha Blondy]

the conservatives are at a loss on this one and its a wishy-washy hyperbolic policy that will benefit the rich and discriminate against society's weakest. this will wreck havoc on the somali community. but we shall, innit.

[SayidSomal]

NGONGE;928929 wrote:

The Inland Revenue (IRS for our American readers) have also introduced RTI (Real Time Information) for all employers and the self employed. This is a system in which every employer will have to report the earnings of all their employees in real time. This will mean that the government will know exactly how much any person has earned in any given month and could therefore apply the correct tax codes and demand the correct amounts of tax to be paid. It also means that the crafty “ciyaalka xaafada” will struggle to be a secret tagsiile on the weekend whilst claiming benefits for the rest of the week without openly declaring it.

It also means that any extra jobs you do from time to time will be logged and accounted for.

There is much more to learn about this system and many problems it throws and will throw up but I think this should be enough to go on with for now.

 

p.s.

People will have to fill in their applications, manage their accounts and track their payments ALL

on line

. Which is why I truly fear for eedo Asli!

War forget about eedo Asli (on account of this being my new earner) and tell me more about this RTI? And whilst you are at it - when are you going to stop working for the Arabs and come work for me and the 'ciyaalka xaafada' in doctoring accounts?

[Alpha Blondy]

^ are you still milking the british government with the 'ciyaalka xaafada' mashruuc. orod shaqo taag, inaar.

[NGONGE]

^^ RTI is a simple idea. In the past, the government demanded that companies report details of employees earnings at the end of the tax year. Now, with RTI it has to be done on or before the day the person is paid (be it weekly, monthly or yearly). So, when you're paid they will know. This even applies to the self employed who in the past would have done it at the end of the year. Marka meel aad o baxsato ma jirto.

 

p.s

 

Juxa, how is this going to be good for households when you yourself keep complaining about useless men an their downtrodden women? Bal ka waran if it is this useless man who know recieves the money on behalf of his family and also pays the rent, where will the "bac madow" go? There is more to this than meets the eye, afokaado.

[SayidSomal]

^war who is going to do the 'logging' - me the self employed or the people who paid me for one off service that i might have provided that week or day?

[SayidSomal]

Alpha Blondy;928939 wrote:

^ are you still milking the british government with the 'ciyaalka xaafada' mashruuc. orod shaqo taag, inaar.

Better than attempting to 'milk' the maid eh ina adeer?

[NGONGE]

^^ Dee it depends on how the payment was made. If they paid you as a casual employee they will have to report it. If they paid you as a form of an invoice the VAT will show it up. Cash in hand in a dark alleyway is the way forward for you warya.

[SayidSomal]

I will invoice them for the service provided and then they pay me via BACS transfer (or in rare cases - via cheque) - my invoice does not mention VAT (I didn't even know there was VAT on services) so how would they know without going into my account?

[Alpha Blondy]

Sayid*Somal;928944 wrote:

Better than attempting to 'milk' the mead eh ina adeer?

what the hell is the mead? did you mean the maid? inaar, i'm in an actual job unlike fake somali community leaders like y'all. walahi, the IRB should audit your organisation. i'm quite sure they're bound to find discrepancies, inaar.

[NGONGE]

^^ They probably wouldn't. But should you ever apply for UC, you will have to declare all your earnings including savings. Marka ma been baad sheegi adigu odey la yaqaan oo laga dambeeyo? Khaaf allah!

[SayidSomal]

^^Hagbad is not a saving! it is deduction (especially if you already took the money first)

 

Alpha Blonde - sorry that was blond moment on my behalf - mead is drink brewed in Arabsiyo by ethiopian maids - I thought you would have known all about it

[NGONGE]

^^ Dee this new system is limiting the ability to accumalate hagbado. (waxan ku odhan laha hurry up and build that Qardho palace before the system comes in). Heh.