Taking Lodger in?

dirtyflannel

At the moment I am on jobseekers allowance looking for work. I also live in a cheap rent 2 bed house of which I have to pay 14% bedroom tax. I am wondering whether to get a lodger in but how do I find out how this will affect things? How much do I charge etc?

lighting_up_the_chalice

If you take in a lodger, you will no longer have to pay the "bedroom tax" as you will no longer have a spare room. On top of this saving, you can also keep the first £20 of the rent charged. So, on a typical affordable rent of £90, you will have an extra £32.60 in your pocket. You will also benefit from a contribution to the household bills (gas, electric etc) if you charge a lower rent but agree to split the costs. All in all, not a bad idea.

As for what to charge, have a look at the LHA shared room rent as a starting point.

xylophone

https://www.gov.uk/rent-room-in-your-home/the-rent-a-room-scheme

Check your tenancy agreement. Check your insurance.