Where the DWP have agreed to pay Universal Credit twice monthly.........
- The DWP will assess the claimant's monthly UC award as normal
- They will then reduce the award by any deductions eg Third Party Deductions for rent arrears, sanctions, court fines etc leaving the payment that is due
- Where there is an APA managed payment to landlord in place this will then be taken out of the due payment
- And then what remains is the payment due to the claimant
the claimant will receive half of this on their normal pay date* (ie up to 7 days after the claim was assessed at the end of their Monthly Assessment Period) and the remaining half 14 days later.
This means that when the claimant has been granted twice monthly payments they will have to wait their next usual pay date and then only receive half the payment due rather than the full payment - with the remainder being paid 14 days later.
This also means that the gap between the first and second UC payment is 14 days, but the gap between the second UC payment and the next UC payment the claimant will receive (ie the first due at the end of the following Monthly Assessment Period) will generally be either 16 or 17 days - as most months have 30 or 31 days.
So claimants must be made aware that they need to make this second payment last that little bit longer.
Joe applied for Universal Credit on 1st June 2018 but is worried that he’s not going to manage being paid calendar monthly. He has mental health problems and ‘vulnerabilities’ and chats to his work coach about his worries. She suggests twice monthly payments, so Joe receives his first UC payment- being half of what he is due to be paid - one month and 7 days after his date of claim on the 8th July and the other half 14 days later. He then receives his UC payments twice a month - on Joe’s normal pay date he receives 50% of his due amount and then the other half 14 days later. Luckily for Joe his work coach had warned him about having to make his second payment last that little bit longer.