Glossary · UK
What is Carer's Allowance Earnings Limit?
The maximum a carer can earn from work each week and still qualify for Carer's Allowance.
Full Definition
Carer's Allowance has a weekly earnings limit — after deducting certain expenses such as tax, National Insurance and half of any pension contributions — above which entitlement is lost entirely rather than gradually reduced, making it a hard cliff-edge rather than a taper. Going even £1 over the limit in a week can mean the whole week's Carer's Allowance has to be repaid, which is why overpayments have historically been a common problem for carers who pick up extra shifts without realising the impact.
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