Paying a relative as Power of Attorney for care of relative

xylophone

My relative has registered as self-employed and his Dad pays him as he does other people who do work for him. My relative sorts out his own NI and tax.

http://www.hmrc.gov.uk/employment-status/

It would appear that the OP's brother's only job would be caring for his mother in his own home.

G_M

There was useful and relevant info for this thread in yesterday's BBC 'Moneybox' on Radio 4.

http://downloads.bbc.co.uk/podcasts/radio4/moneybox/moneybox_20140226-1530a.mp3

Mojisola

xylophone wrote: »

http://www.hmrc.gov.uk/employment-status/

It would appear that the OP's brother's only job would be caring for his mother in his own home.

This is the case for my relative as well. We wondered whether he could do it as he only has the one "client" but he hasn't had any problems yet.

In other respects, he fits the self-employed definition - he can change his hours if he wants to, he decides when he's going on holiday and for how long, etc.

atush

So, sit down with your brother and find out how much his ongoing living costs are, and split it. You pay your mum's half. Then add on for any extras she requires.

Then a small allowance, low enough it does not affect his CA.

This sort of arrangement would pass scrutiny as it is in your mum's best interest.