Minimum Income Floor (MIF)

A mechanism used in the calculation of Universal Credit for self-employed claimants, and also in the calculation of council tax reduction award for Universal Credit claimants. It works by assuming a certain level of income after a year-long grace period. The level of income is calculated using the National Minimum Wage for the applicant’s age group, multiplied by the number of hours they are expected to look for and be available for work.

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