TCM1000499 - How to calculate the Loss of Benefit Sanction amount

Step 1

On the ‘Function Menu’

• select ‘Award’ on the tool bar
• select ‘View’ from the options available. You will be taken to the ‘Key Entry Data’ screen
• enter the customer’s NINO
• select the ‘latest’ checkbox
• select ‘OK’
• go to Step 2.

Step 2

• select ‘View Calculation’. You will be taken to the ‘View Calculation’ screen
• select ‘View Elements’. You will be taken to the ‘View Elements’ screen
• from this screen make a note of the Working Tax Credit (WTC) amount and the number of days in the award period
• go to Step 3.

Step 3

Calculate the sanction amount

• divide the WTC amount by the number of days in the award period to obtain the daily rate
• multiply the daily rate by the number of days in the sanction period to give the sanction amount.

Note: this will give you the 100% sanction amount. You will need to halve this figure if you are applying a 50% sanction.