We’d like to remind Forumites to please avoid political debate on the Forum.

This is to keep it a safe and useful space for MoneySaving discussions. Threads that are – or become – political in nature may be removed in line with the Forum’s rules. Thank you for your understanding.

📨 Have you signed up to the Forum's new Email Digest yet? Get a selection of trending threads sent straight to your inbox daily, weekly or monthly!
The Forum now has a brand new text editor, adding a bunch of handy features to use when creating posts. Read more in our how-to guide

Taxable Income

I have just started a new job that pays expenses and also milage. This is paid by cheque and not in my payslip. Is this classes as income for means tested benefit?

Comments

  • Darksparkle
    Darksparkle Posts: 5,465 Forumite
    Depends what the expenses are for/ rate of mileage etc
  • Hi

    I work for a charity working with children. Rate is 25p per mile and the other expenses are buying them their lunch or taking them to leisure activities. It comes out of my own pocket then paid back at the end of the week.
  • Darksparkle
    Darksparkle Posts: 5,465 Forumite
    Hi

    I work for a charity working with children. Rate is 25p per mile and the other expenses are buying them their lunch or taking them to leisure activities. It comes out of my own pocket then paid back at the end of the week.

    And do you show receipts etc for that?

    If you can show they are legit business expenses then they aren't taxable so won't affect tax credits.

    If you are just being paid a round sum without proof, it's taxable and is included.

    If your asking about any other benefits you'll need to be specific about what ones.
  • Stroller133
    Stroller133 Posts: 57 Forumite
    Hi

    I work for a charity working with children. Rate is 25p per mile and the other expenses are buying them their lunch or taking them to leisure activities. It comes out of my own pocket then paid back at the end of the week.

    In terms of milage then the 25p is allowable (not included as income) In fact for the first 10000 miles per year you can take 20p per mile off your income as the allowable mileage rate is 45p per mile. If you pay tax you can also claim tax relief on the underpayment - it would be 4p per mile @ 20% tax. This is assuming it's a private vehicle.
  • HappyMJ
    HappyMJ Posts: 21,115 Forumite
    10,000 Posts Combo Breaker
    I have just started a new job that pays expenses and also milage. This is paid by cheque and not in my payslip. Is this classes as income for means tested benefit?

    No it's not income. You didn't earn it. You paid for something and it's just being reimbursed.
    :footie:
    :p Regular savers earn 6% interest (HSBC, First Direct, M&S) :p Loans cost 2.9% per year (Nationwide) = FREE money. :p
This discussion has been closed.
Meet your Ambassadors

🚀 Getting Started

Hi new member!

Our Getting Started Guide will help you get the most out of the Forum

Categories

  • All Categories
  • 354.8K Banking & Borrowing
  • 254.5K Reduce Debt & Boost Income
  • 455.6K Spending & Discounts
  • 247.6K Work, Benefits & Business
  • 604.5K Mortgages, Homes & Bills
  • 178.6K Life & Family
  • 262.1K Travel & Transport
  • 1.5M Hobbies & Leisure
  • 16.1K Discuss & Feedback
  • 37.7K Read-Only Boards

Is this how you want to be seen?

We see you are using a default avatar. It takes only a few seconds to pick a picture.