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Carers Allowance and Expenses

Hi

My wife receives carers allowance (not UC). She has started a job that is two hours a week, which pays £40 hour - this is self employment, she is not classed as an employee. On top of this she receives £20 a week to cover her expenses (travel costs, provision of materials etc). 

My question is: does this reimbursement of expenses count as 'income' for the purposes of the earnings limit for CA?

Comments

  • calcotti
    calcotti Posts: 15,696 Forumite
    Part of the Furniture 10,000 Posts Name Dropper
    My wife receives carers allowance (not UC). She has started a job that is two hours a week, which pays £40 hour - this is self employment, she is not classed as an employee. On top of this she receives £20 a week to cover her expenses (travel costs, provision of materials etc). 

    My question is: does this reimbursement of expenses count as 'income' for the purposes of the earnings limit for CA?
    As she is self employed the ‘reimbursement’ will be income. However the actual expenses incurred will be deducted to arrive at the self employment earnings.
    Information I post is for England unless otherwise stated. Some rules may be different in other parts of UK.
  • DullGreyGuy
    DullGreyGuy Posts: 18,613 Forumite
    10,000 Posts Second Anniversary Name Dropper
    My question is: does this reimbursement of expenses count as 'income' for the purposes of the earnings limit for CA?
    Yes, she is running a business and so this is revenue. Her "income" would normally be her "profit" so revenue less allowable expenses.
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