Becoming self employed while carer on UC

Richsstitches

Afternoon all,
Looking for some advice please.
My husband and myself currently claim UC as a couple. My husband is self employed (35 hours a week) and is just over the 12 month migration timescale so is now subject to the mimimum income floor.
I’m currently not in employment and receive carers element due to taking care of an elderly family member. For this reason I’ve no commitments from UC to look for further work.
However I am looking at the possibility of starting a small work from home business as an extra hobby with a view to earn small income too (probably no more than £100 per month) and only 5-10 hours per week. 
My question is will this affect my currently UC claim, will I be subject to the same minimum income floor as my husband? 

Any advice greatly appreciated.
Thank you

huckster

Carers under UC are in no work related requirements, so no expectation of amount of earnings. The self employment would be found as not gainful, as it not going to be a developed primary earnings source. Therefore Minimum Income Floor would not be applied.

You would need to report change under work and earnings when you start self employed work. And attend Job Centre appointment, so they can make record about your self employment,  as well as explain how to report income and expenses information.

And once you report income and expenses at the end of each assessment period, UC will take into account your net earnings. The same earnings taper applies with UC reducing by 55 pence for every £1 of your net income.

Richsstitches

huckster said:

Carers under UC are in no work related requirements, so no expectation of amount of earnings. The self employment would be found as not gainful, as it not going to be a developed primary earnings source. Therefore Minimum Income Floor would not be applied.

You would need to report change under work and earnings when you start self employed work. And attend Job Centre appointment, so they can make record about your self employment,  as well as explain how to report income and expenses information.

And once you report income and expenses at the end of each assessment period, UC will take into account your net earnings. The same earnings taper applies with UC reducing by 55 pence for every £1 of your net income.

So my allowance at present would be reduced by 55p per £ profit regardless of the level of profit (ie no minimum amount of earnings before this applies)? 

So if I made £100 profit after expenses in a month my UC would reduce by £55? 

Would I still be classed as a carer and recieve this element of UC as this would be the reason why I couldn’t commit to more hours, due to the care I provide. 

I’m already aware of how to report expenses monthly  etc as we have been submitting this way for over a year with my husbands self employment. 

Thank you for your advise

huckster

Any work allowance on your claim due to having children on the claim is for the claim and not each of the couple claiming. Therefore presuming your husband is already earning above any work allowance, the work allowance has already been accounted for. Therefore for your net earnings for every £1 you earn, UC is reduced by 55 pence.

So it depends on your net profit after expenses as to how much UC payments are affected. 

If you are not currently noted as self employed on your UC claim, you will need to report change and you will be required to attend Job Centre appointment. And if your self employed earnings could exceed £1000 in a tax year you will need to register as self employed with HMRC.

Self employment would not affect you being a carer and carers element under UC.