Questions on permitted work?

Billman

I have looked up on the net and it says that permitted work income is judged on the net profit. Is this including expenses that go into making products. I wanted to sell small plants I could manage more easily hopefully up to £20 per week discluding ANY expense attached to producing them ,not just net income from the sale itself.

Are there any wise folks who can help me here?

Thanks appreciated.

Tobiwan_Kenobi

Can you be more specific? Permitted work in what regard?

stazi

Net profit is after all acceptable expenses. JCP will want to see your books after, say, 3 months to calculate your profits. JCP will then look at your books after 52 weeks to see if you have earned +/- £20pw.

Billman

Does this mean any self employed permitted work involves accounts where as if you are not self employed then you don't have to. Its a bit annoying that they do not mention anything on the PW1 form in filling this out regardings to keeping accounts if you are self employed. Seems a bit unfair that you have to go to all that trouble for £20 per week.

Do they require full accounts or would online transaction evidence be sufficient?
Is it a case of whether the individual is happy with just revealing the net income from the online transaction as there income. I say this as if I choose not to claim other cost of sale expenses on top then the DWP may not then require it-as it would be a hassle for them ?

What do people think and has any one had experience of this.

Thanks for your help so far. I really appreciate it!

property.advert

Why tell them ?

Billman

The PW1 is just the first initial form which you fill in not an ongoing form you fill each time about your progression. If you mean why tell them as a do I not want to tell them, then I don't mind telling them but wondered if I could cut down the amount I have to give them. It could be you agreeing with me in that they are just after the SALE transactions themselves which can be given as NET figure printed from Ebay. This removes postage when printed from ebay account as its what the auction finishes at not including postage. This is what I would want to give to DWP and no more hopefully ??

[Deleted User]

property.advert wrote: »

Why tell them ?

why advocate fraud?????

stazi

Billman
If you do some S/E work, as I said earlier, JCP need to calculare if your net profit is +/-£20pw. There are 2 main levels of PW-
PW Lower Limit of less than £20pw with no time/hours limit.
PW Higher Limit with a max of £93pw and work for less than 16 hrs pw for a fixed 52 week period.
If your earnings are more than £20pw PWLL, then you are in the PWHL.

In addition to becoming S/E, you also may need to register as such with HMRC, or face a penalty.

Billman

So basically there is no easy option to just print off an ebay transaction sheet I think is what your saying. Dont get me wrong i've understood what you said both times but was trying to communicate is there an easier option given it is only £20 per week we are talking about. I can only guess the reason that there may not be an easier method is they presume you will have the ability to do more than £20 at some point and so want to record the progression from the very beginning. I say this because if they truly believed because of your disability you would not progress then they may not ask for proper accounts. Having asked if they do take expenses into consideration I may have confused the issue as I was trying to work out if declaring expenses or keeping it simple(if they were to let you), which one would be the best plan. Its seems that there is literally only one option to do a proper cash book. A reason for the way they do things would be really handy even though you have seemingly answered my question so far. Also can I ask if you know this because you or someone else has had this experience as being sure of the situation would really bring peace of mind. I am not meaning to be awkward but that would be really helpful for me to no for sure. Also is it left to the tax people to very occasionally visit the business or do benefits people visit you initially?

Any other insights that I ought to know could be really helpful also. Hope I am not over doing it in asking-my apologies if I am.

Thanks for your help so far, much appreciated.

stazi

Billman

JCP need to establish which level of PW you fall into- either PWLL or PWHL. Being S/E, they have to look at your books, whereas someone who works for an employer can produce payslips.

As I said PWHL is limited to a max of 52 weeks, so if your earnings were +£20pw, your benefit claim would have to stop after 52 weeks, or you would have to earn less than £20pw.

MrEnglish

Say someone earned 15 per wk but 10 of that was expenses, would JSA income based be affected at all?

Would you have to fill in the declare work form every 2 weeks?

I understood you could earn a 5er a week without affecting anything.