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Carer’s Allowance

The short version: Carer’s Allowance is a weekly payment you can claim if you care for someone at least 35 hours a week. They don’t have to be a family member.

Who can claim?

To qualify, you need to earn below a certain weekly amount from other work (after tax, NI and expenses). The exact threshold changes, so check gov.uk for the current figure.

You can only claim the allowance once, even if you care for multiple people. But it comes with National Insurance credits, which count towards your State Pension. You might also qualify for extra support like council tax reductions or Universal Credit.

Is it taxable?

Technically yes. But you’ll only actually pay tax on it if your total income from all sources goes above your Personal Allowance. For many carers, there’s no tax to pay in practice.

Not sure if you’re eligible or how it affects your other income? Ask us and we’ll help you understand your situation.