Calendar Monthly Payments

Currently, there are 0 users and 1 guest visiting this topic.
Viewing 7 posts - 1 through 7 (of 7 total)
  • Author
    Posts
  • #34052
    yardleys
    Participant

    I know this isnt necessarily an LHA issue but…

    With the introduction of LHA & the ethos of giving claimants more responsibility, to make it easier for them we are planning on introducing calendar monthly housing benefit payments. Currently we only generally (apart from certain exceptions) pay clmts fortnightly & LLs 4-weekly.

    We really aren’t sure how many LAs currently pay HB cal monthly but we are really just looking for some advice on issues/problems this may cause. One issue we have thought about is that we would probably have to pay cal monthly in arrears when most rents are cal monthly in advance, any advice on this as well would be appreciated.

    Therefore are there any LAs out there willing to give us any advice or assistance on setting up Calendar Monthly HB Payments (LHA or HB). If it helps we use Academy benefits?

    #48958
    seagull
    Participant

    Academy will allow payments to be produced calendar monthly based upon the number of days of the month that your in (so you appear to short change HB for months of 30 days or less / overpay for months with 31 days e.g. when full HB is granted compared to the rent payable).

    In addition the period of payment is always the first to the end of the calendar month and Academy limits you to one advance and one arrears payment run per month.

    Suffice to say if your happy for your customers to accept this compared to a regular 14 / 28 day payment then all well and good. A number of change controls were addressed recently following the change to the way calendar monthly rents were calculated, so presumably the system is working correctly again.

    Having worked at sites which have operated both options, my inclination would be to keep it simple and continue fortnightly / lunar.
    😀

    #95149
    seagull
    Participant

    Academy will allow payments to be produced calendar monthly based upon the number of days of the month that your in (so you appear to short change HB for months of 30 days or less / overpay for months with 31 days e.g. when full HB is granted compared to the rent payable).

    In addition the period of payment is always the first to the end of the calendar month and Academy limits you to one advance and one arrears payment run per month.

    Suffice to say if your happy for your customers to accept this compared to a regular 14 / 28 day payment then all well and good. A number of change controls were addressed recently following the change to the way calendar monthly rents were calculated, so presumably the system is working correctly again.

    Having worked at sites which have operated both options, my inclination would be to keep it simple and continue fortnightly / lunar.
    😀

    #95150
    Anonymous
    Guest

    It’s good that at least one of the market leading systems offers calendar monthly payments, maybe the others do as well but I know the option is seldom liked by local authorities.

    But the Academy approach sounds a bit over-complicated to me … the claimant gets a different amount of HB from month to month, is that right?

    I would have thought the best method is:

    – convert monthly rent to weekly max HB using the x12 /52 method now required by Reg 80
    – work out weekly HB
    – convert it back up to a monthly amount for payment using x52 /12
    – always pay that same monthly amount irrespective of the number of days in the month

    Sorry, that will not seem like very constructive advice if you are stuck with what Academy offers

    #95151
    Anonymous
    Guest

    We’re on IBS and we’ve been told it will do it no problems.

    However, I think another issue is that this bring about a whole new concept in paying HB – giving the claimants choice.

    I don’t know about other LAs, but we have historically not given them a choice – it has always been fortnightly for claimants, four-weekly for landlords, and they can like it or lump it.

    We are now changing the way we think about this, and will be saying to the claimant “how do you want to be paid?” (although it will still be in arrears), and trying to match payment frequency to rent charge frequency. This means changing our application form, and giving customers different advice when they make claims.

    #95152
    Anonymous
    Guest

    We have made calendar monthly payments for the last 8 years. Firstly using the ICL HBIS system which made perfect equal monthly payments and now with the Academy system that does not. Arguments have been long and hard between us to amend the system but they will not. We are particularly concerned with the advent of LHA as equal monthly payments would be easier for tenants to cope with, but as rents are mostly charged calendar monthly we are not going to change as 13 four weekly payments are just as confusing as unequal monthly payments when you have a standing order for a monthly amount.

    #95153
    Anonymous
    Guest

    We have made calendar monthly payments for the last 8 years. Firstly using the ICL HBIS system which made perfect equal monthly payments and now with the Academy system that does not. Arguments have been long and hard between us to amend the system but they will not. We are particularly concerned with the advent of LHA as equal monthly payments would be easier for tenants to cope with, but as rents are mostly charged calendar monthly we are not going to change as 13 four weekly payments are just as confusing as unequal monthly payments when you have a standing order for a monthly amount.

Viewing 7 posts - 1 through 7 (of 7 total)
  • You must be logged in to reply to this topic.