How does underlying entitlement affect my overpayment?

Underlying entitlement is a calculation of what your correct benefit entitlement should have been for a period where you have been overpaid. It is calculated to help reduce your overpayment..

For example, you receive an increase in your income, but forget to tell us about it. When we reassess your claim, we will include the increased income from the date it changed. You will then be notified of the amount of benefit you have been overpaid.

In this example, you have already had your underlying entitlement calculated, as we are aware of your circumstances for this period and can therefore calculate the underlying entitlement automatically.

However, there are times when we do not know what your circumstances were. We will therefore contact you to ask you to provide details of your income for the relevant period, so that we may calculate any underlying entitlement and potentially reduce your overpayment.

Please note that if you receive a request for information relating to a previous period, it is in your interest to provide us with this information, as your overpayment may be reduced.