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Split of house costs
Comments
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No he does not contribute to any of my flat's repairs.Georgiegirl256 wrote: »Upkeep of the house is a different matter though, I'm not really sure on that one. It's his house, and unless he's struggling to pay then I think the majority of the cost should come from him. Would he contribute to any repairs needing doing on your house if needs be?0 -
getmore4less wrote: »I think you should separate the living costs from the owning a house costs.
If he want to own the house then it is his responsibility to cover ALL the costs.
Share the living costs, some do 50:50 some do proportional or some other way.
How much to contribute for the occupancy is separate.
One way to split is as if you were renting, you provide around 1/2 a market rent or perhaps a lodger rate.
OH covers the things a landlord would and you share the things you would as a house share.
Contributing to the mortgage, maintenance or improvments gives you a claim on the house.
I second this. My mum and nan live with me. Both help towards the bills but I pay for all maintaince, I paid the mortgage and anything the actual house needs as ultimately it's my responsibility.:T:T :beer: :beer::beer::beer: to the lil one
:beer::beer::beer:0 -
I'd suggest that you contribute half of the going rate for renting a similar property and pay half of the bills. For refurbishments, either you both pay 50% of each other's property costs or he pays his own and you pay for your own. If he does something that reduces the cost of the bills each month, you are both benefitting from that with reduced bills but he receives more benefit because of the value it might add to the house so I don't think you should pay anything towards that. If he does something that would increase the rent he could get for the property then by all means reconsider the half share of rent you pay to him, but otherwise leave it. If he wouldn't increase the rent from a tenant, it's probably not something that is making a huge difference to the house.0
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This is a VERY grey area...
How did he pay his mortgage before you moved in?
The "safest" way to do it is if he pays the mortgage and upkeep of his property, and you do the same for yours, then you pay half the bills.
That way, should you split, he keeps his property, you get yours...
If you are to be paying half the mortgage, then should you split, you could be entitled to half any equity increase (or debt).
You need to have a conversation on HOW this is going to work. It is a grim area of discussion, and lots of people will say "but we're not going to split up so why discuss it unless we might..." but it is a conversation worth having!Should've = Should HAVE (not 'of')
Would've = Would HAVE (not 'of')
No, I am not perfect, but yes I do judge people on their use of basic English language. If you didn't know the above, then learn it! (If English is your second language, then you are forgiven!)0 -
Apologies, I did not mention it initially, but we signed a living together agreement, which stipulates that neither of us has a claim on each other's property.
pinkshoes solution seems like a good one.
Laying aside the tax/partner situation I think you're clouding the issue by describing what you pay part of 'his' mortgage. That immediately starts to raise the expectation that you'd end up owning part of the house where in truth it's just the way he's calculated what he wants you to pay. As you've agreed to keep your property separate then I think (for financial purposes) you should think more of it as paying rent. Your BF needs to come up with an amount that resembles living locally in a shared house and then covers your share of all the utility bills including your share of food as you would with a housemate. As it's his house I think he should pay for repairs including the windows as he's just maintaining the value of his property and he has your 'rent' to help offset this.
Obviously you'd be responsible for all bills associated with your won property.
I don't think how much you earn should come into it. Financially it's a business arrangement. Landlords don't set rent based on a tenant's ability to pay and increase it when you get a pay rise!
Unfortunately there is the emotional side to consider but you must have put that to one side when you took out the agreement.0 -
I don't believe this is true. Am open to being corrected, but I believe that a partner cannot be a lodger and this is not considered an income.
Please can you quote the legislation?
You're right it isn't correct. A partner or close family member is part of your 'household'. Contributions to mortgage, bills and living expenses are not income for a service provided and therefore are not taxable.
OP you and your partner need to have a frank discussion in order to agree the best way forward with regards to money and your properties. I personally feel that if you aren't at the stage where you are ready to marry, whether you actually marry or not, and regard all your income and assets as joint then you should keep things separate. I was in a similar situation and I worked out a contribution that left us both the same amount better off compared to when we lived separately, plus half the shopping bill and petrol costs. If that's too complicated you could give him what the going rate in the area for renting a room is (including utilities but not food). Plus while you could contribute to redecorating you should not pay towards anything that increases the property value like new windows.
However there's no one right or wrong way and if you discuss it you can get him to see your side too and then reach a decision that you are both happy with. Does your property make a profit after bills, fees, maintenance costs, tax, etc?Don't listen to me, I'm no expert!0 -
You're right it isn't correct. A partner or close family member is part of your 'household'. Contributions to mortgage, bills and living expenses are not income for a service provided and therefore are not taxable.
Just because the benefits system treats LTAHAW as a household for claims on the basis that they should not be treated less favourably than married people, this is not true for other taxes(although maybe for some).
Eg. Gifts are not exempt from PET rules.
No evidence that the income from property from resident LTAHAW or relatives are exempt.
If Rent or capital payments on a mortgage are exempt it would give people opportunity to indulge in other tax avoidance.0 -
getmore4less wrote: »Just because the benefits system treats LTAHAW as a household for claims on the basis that they should not be treated less favourably than married people, this is not true for other taxes(although maybe for some).
Eg. Gifts are not exempt from PET rules.
No evidence that the income from property from resident LTAHAW or relatives are exempt.
If Rent or capital payments on a mortgage are exempt it would give people opportunity to indulge in other tax avoidance.
You have shown zero evidence that these payments are taxable. Quote a guideline, a case law, a news article.0
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