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What Benefits Are Available For Low Earners?

A Grey Area

I read where low-earners, those making around 15K a year or less are falling in the cracks in the system. The recession is forcing many people who have lost their jobs to take jobs earning less than before, and many households that had two (2) incomes, are not getting by on one (1) income.

This reduction in earnings and no change in the cost of living, is causing people to either fall into debt, or not be able to service the debts they have.

If they have debts, credit cards, overdrafts, etc, they need to concentrate on the basics, rent/mortgage, taxes, food, petrol, etc. Which may leave nothing left to service the debts.

Others, may not start out with a lot of debt, but begin using credit to make up the difference in what their income may have been reduced by, causing them to go more into debt.

Either situation is less than ideal.

The first thing people need to do in addition to continue to look for suitable work, is to explore what benefits may be available to them. They may be eligible for a reduction in council taxes for one thing.

Another thing to do is look at what options are there is you have debts, a debt management plan or possibly bankruptcy.

For many people they are in a grey area, and slip between the cracks of what benefits are there.

They earn too much to qualify for any assistance, but yet cannot either make ends meet for the basics or service any debt they may have.

At that point someone with debts may want o seriously consider bankruptcy if they don’t feel their situation will improve in a reasonable period of time.

It is sad that there is this gap in things, and the government has stated they are looking to bridge it, hopefully as with everything that needs to be accomplished it is bridged soon.

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