Martin Lewis has issued a message to those over the age of 66.
The Money Saving Expert founder says that people who are of State Pension age could be claiming £278 extra each week - worth around £3,300 on average each year.
Writing in the latest edition of the MoneySavingExpert.com (MSE) newsletter, the financial journalist said it was a “national tragedy” that so many people of State Pension age, who have been paying National Insurance contributions for years, are missing out on a “critical boost to their income”, reported the Daily Record.
READ MORE: Martin Lewis issues urgent message to households earning less than £40,000
Martin wrote: “It is a national tragedy that getting on for a million pensioners, many of whom have been paying into the system for years, are missing out on a critical boost to their income. It's called Pension Credit, and this year it also means you get up to £650 extra to help with energy bills.
“So as we're slap-bang in the middle of a cost of living crisis, it's crucial we spread the word as quickly as possible.” Pension Credit is a benefit delivered by the Department for Work and Pensions (DWP) designed to help low-income pensioner households.
The consumer expert shared his rule of thumb for instantly checking whether you or someone you know, who is over 66, may be eligible for the additional weekly payment - and it will take less than 10 seconds to do.
Pension credit 10-second need-to-knows
An infographic on the MSE.com website explains that you may be eligible for Pension Credit if:
- you are over 66 and single with a total weekly income of under £200
- you are in a couple and you are both aged 66 or over, with a total weekly income of under £300
However, Martin warned that even if you answer yes to either of these questions, you may not qualify for the benefit. He said: “I'm NOT saying everyone will be entitled to Pension Credit; there's huge variance depending on if you've savings, disabilities, and other factors.
“Yet at this income it's definitely worth spending five minutes to check. You CAN get it if you're a homeowner, claim other benefits or live with a grown-up family. The worst that can happen is they say no.”
He also clarified how total income is calculated as DWP takes into account:
- Income from work
- Pension
- State Pension
- Some benefits
- Savings or investments over £10,000
The latest DWP figures indicate £1.7 billion is being left unclaimed by around 850,000 older people across the UK who are missing out on this vital ‘passport’ benefit which unlocks a whole host of other discounts, including free TV licences for the over-75s and Council Tax Reductions.
Pension Credit helps top-up a person’s income to a minimum of £182.60 per week for single pensioners and £278.70 for couples.
However, during his Autumn Statement, Chancellor Jeremy Hunt announced that Pension Credit will increase by 10.1% from April. This is on top of a 10.1% increase to State Pension, means-tested and disability benefits delivered by DWP.
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