Guide to disability related expenses
Case study - Ms Smith
Ms Smith is a 42-year-old woman who lives alone in a privately rented flat. She has mental health issues including bipolar disorder and anxiety. She can have both depressed and manic episodes and has a pendant alarm which she can use if she becomes overwhelmed. Because of her anxiety, she does not leave the house often and her family do not live locally.
Ms Smith maintains contact with her family by using her smart phone to video-call with them regularly.
Ms Smith receives Personal Independence Payments and has a weekly income of £275. Ms Smith has claimed for the following items and amounts:
- Pendant alarm - £185 per year
- Electricity costs - £65 per month
- Water costs - £90 per quarter
- Mobile phone - £25 per month
This is how the DRE Team calculated her DRE amount.
- Ms Smith’s pendant alarm provider is not based in Norfolk so does not appear on our records. However, she supplied the annual invoice which allowed the DRE Team to work out the weekly cost. £185 per year divided by 52 weeks equals £3.56 per week. £3.56 per week allowed as DRE.
- The DRE Team first work out the weekly cost of electricity that Ms Smith pays. £65 per month times by 12 months equals £780 per year. £780 per year divided by 52 weeks equals £15 per week. The average weekly cost of electricity for someone with Ms Smith’s income level is £11.20 and because this is lower than what Ms Smith pays, the difference can be allowed. £15 minus £11.20 equals £3.80. £3.80 per week allowed as DRE.
- The DRE Team must first work out the weekly cost of water that Ms Smith pays. £90 per quarter times by 4 quarters equals £360 per year. £360 pear year divided by 52 weeks equals £6.92. The average weekly cost of water for someone with Ms Smith’s income level is £8.50 per week and as this is higher than what Ms Smith pays, there is no amount to be allowed as DRE.
- Mobile phone costs would not normally be allowed as DRE but because Ms Smith is socially isolated, the DRE Team could contact a social worker to see if the cost of the mobile phone could be included as part of the package of care. The social worker may agree that the SIM for the mobile phone could be met as part of Ms Smith’s package of care through a Direct Payment. This means that although the amount that Ms Smith pays for her mobile phone is not included as a DRE, Norfolk County Council could pay her the amount through a Direct Payment as it meets her care needs of reducing social isolation.
This means that Ms Smith’s DRE amount is:
- Pendant alarm - £3.56 per week
- Electricity costs - £3.80 per week
- Water costs - £0.00 per week
- Mobile phone costs - £0.00 per week
Total DRE amount allowed - £7.36 per week