Topic 2

Question 1

attendance allowance

Answer 1

payable to those people who are over the state pension age who have a long term illness or disability that means they cannot peform basic daily living activites or have limited mobility

Question 2

benefits cap

Answer 2

limit to the total amount in some benefits that working -age people can recieve, even if full investment would otherwise be higher

Question 3

carers allowance

Answer 3

paid to anyone over 6 who spends 35hours + per week looking after someone who has substantial care needs

Question 4

child benefit

Answer 4

money paid to parents or others who are responsible for bringing up a child

Question 5

child tax credit

Answer 5

benefit paid to people who are in low-paid work, to help with costs of raising a child. - being replaced by universal credit, so is closed to new applicants unless they are already claiming working tax credit

Question 6

consumer prices index

Answer 6

one means the gov uses to measure inflation. calculated by checking the price of a representative sample of goods on monthly basis- enables statisticians to measure how much prices are rising/falling

Question 7

contributory benefits

Answer 7

benefits paid to eligible claimants providing they have paid required number of national insurance contributions

Question 8

employment and support allowance

Answer 8

provides income directly from the state when sickness/disability prevents you from working

Question 9

gross domestic product

Answer 9

value of goods and services produced within a country over a year

Question 10

housing benefit

Answer 10

older benefit that was paid to people with low incomes to help with housing costs - being replaced by universal credit so only people who fulfill certain criteria can make new claim for this

Question 11

income support

Answer 11

An older benefit designed to provide a ‘safety net’ for those not
eligible for other unemployment and sickness allowances, to provide
money to pay for basic needs. It has now been replaced by Universal
Credit.

Question 12

Jobseeker’s
Allowance (‘new
style’)

Answer 12

The main benefit for those of working age who are not working full
time but are able to work

Question 13

Means testing

Answer 13

Means-tested benefits are reduced if your household income is above a
certain level or you have more than £6,000 in savings.

Question 14

Non-contributory
benefits

Answer 14

Benefits paid to eligible claimants who have either not paid enough
NICs to claim contributory benefits or need a ‘top-up’ payment because
the contributory benefits they receive do not meet their income needs.

Question 15

Personal
Independence
Payment

Answer 15

Payable to those aged between 16 and state pension age who have a
long-term illness or disability that means they are unable to perform
basic daily living activities or have limited mobility

Question 16

Recession

Answer 16

A period of at least six months in which the amount of goods and
services the country is producing is shrinking

Question 17

State pension

Answer 17

A benefit that people receive from the state once they reach a certain
age, providing they have paid or been credited with enough National
Insurance contributions.

Question 18

Statutory Maternity
Pay

Answer 18

A benefit paid to mothers while they are not working before and after
their baby is born

Question 19

Statutory Paternity
Pay

Answer 19

A benefit payable to fathers to enable them to take time off to support
their partner when a baby is born

Question 20

Statutory Sick Pay

Answer 20

A benefit that provides an income, via the employer, when sickness or
disability prevents an individual from working

Question 21

Universal Credit

Answer 21

The state provision of healthcare and education, low-cost social
housing and a comprehensive system of contributory and
non-contributory pensions and social security benefits

Question 22

Working Tax Credit

Answer 22

A payment made to people who have a job but earn less than the
minimum level considered to be enough to live on. This benefit is
being replaced by Universal Credit, so it is closed to new applicants
unless they are already claiming Child Tax Credit

Question 23

Under the terms of the ‘triple lock guarantee’ if national average earnings stand at 1.8% and the Consumer Prices Index at 3%, by what amount will the basic state pension increase?

Answer 23

3%

Question 24

What state benefit is payable to those aged 16 to state pension age who have a long-term illness or disability that means they are unable to perform basic daily living activities or have limited mobility?

Answer 24

personal independance payment

Question 25

The main benefit for those of working age who are not working full time, but are able to work is:

Answer 25

‘new style’ Jobseeker’s Allowance

Question 26

An additional tax charge will be payable by those in receipt of Child Benefit whose earnings exceed

Answer 26

£50,000

Question 27

The benefits cap applies to

Answer 27

claimants of working age only

Question 28

Which government-funded organisation provides the generic information and advice people need to enable them to make broad financial decisions?

Answer 28

Money-Helper

Question 29

Payplan is funded by

Answer 29

lender donations

Question 30

Which national charity ‘helps people across the UK to tackle their debts and manage their money wisely’?

Answer 30

the money advice trust

Question 31

Which organisation offers educational personal finance information, advice and guidance through its website, publications and training workshops?

Answer 31

The Money Charity

Question 32

The UK’s system of benefits payable to people who are temporarily or permanently in need of financial help is designed to be a financial ‘safety net’. TRUE OR FALSE

Answer 32

TRUE

Question 33

Housing Benefit will always cover a claimant’s full monthly rent. TRUE OR FALSE

Answer 33

FALSE