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Maternity Allowance as earnings - ILR?

Posted: Mon Jun 25, 2012 11:28 am
by DayDream
Hi

My wife & I are on separate Tier1 visas and we would apply for ILR independently end of this year. Meanwhile, we are expecting our baby due in August and she will be taking her maternity leave from work end of this month.

She's joint director in our limited company and gets salary + dividends. But our accountant has adviced us that shes not eligible for SMP and she can only apply for MA.

Now can MA be included to her gross earnings while applying for ILR? Also I beleive claiming MA doesnt not break the rule "no recourse of public funds"?

She is and still will be 50% shareholder of the company during her break and Can she receive dividends during this period?

Any inputs will be really helpful.

Thanks

Posted: Mon Jun 25, 2012 12:02 pm
by geriatrix
Who will be paying this "Maternity Allowance"?

Posted: Mon Jun 25, 2012 12:38 pm
by DayDream
Who will be paying this "Maternity Allowance"?
I thought this is a benefit paid weekly by Jobcentre Plus to pregnant women. So effectively this is not a cost to the company and I think this is paid to her by the government?

Please correct me if Im wrong.

Thanks

Posted: Mon Jun 25, 2012 12:47 pm
by geriatrix
Maternity allowance paid by Jobcentre Plus is a "benefit", not income or statutory pay.

Posted: Mon Jun 25, 2012 1:11 pm
by DayDream
Maternity allowance paid by Jobcentre Plus is a "benefit", not income or statutory pay.
Thanks sushdmehta, please can you answer my other question as below?

She is and still will be 50% shareholder of the company during her break and Can she receive dividends during this period?

Thanks

Posted: Mon Jun 25, 2012 1:23 pm
by Trickytok
Maternity allowance is nt a public fund.. This is wt I read... Bt make sure wit an expert. I thinks u cn claim it bt just check it first..

Posted: Mon Jun 25, 2012 1:43 pm
by DayDream
dozywalia wrote:Maternity allowance is nt a public fund.. This is wt I read... Bt make sure wit an expert. I thinks u cn claim it bt just check it first..
http://www.dwp.gov.uk/publications/spec ... owance-ma/

The link above frm DWP website gives complete information about MA and it explicitly mentions that it is not a public fund. But the doubt I had was whether this can be considered as income and sushdmehta has kindly clarified that MA is a benefit and not an income.

Still looking for answers regarding the dividend query?

Thanks for the help.

Posted: Mon Jun 25, 2012 1:51 pm
by geriatrix
I never said that it is a "public fund". I said that it is a "benefit".
You assumed that it is so.

Posted: Mon Jun 25, 2012 2:02 pm
by DayDream
sushdmehta wrote:I never said that it is a "public fund". I said that it is a "benefit".
You assumed that it is so.
sushdmehta has kindly clarified that MA is a benefit and not an income.
I thought, I said the above in my previous post ? I never quoted you saying that it is a public fund, all I said was you clarified that it is a benefit and not income. Apologies if there was any confusion!

Please can you help me out regarding the dividends?

Posted: Mon Jun 25, 2012 2:30 pm
by geriatrix
I cannot answer the question, but can inform you that there is a concession for applicants who have been away from workplace on account of maternity related absence. Read the settlement policy guidance for details.

Posted: Mon Jun 25, 2012 2:54 pm
by DayDream
sushdmehta wrote:I cannot answer the question, but can inform you that there is a concession for applicants who have been away from workplace on account of maternity related absence. Read the settlement policy guidance for details.
Thanks for your help.