Why £1 earnings to qualify for Help To Save?

Spoonie_Turtle

Grumpy_chap said:

Muttleythefrog said:

Now it sounds like self employment - providing a service for others and being paid for that

And the OP will need to register as Sole Trader and pay any income tax arising (allowances may be available).  UC will potentially want the earnings reported.  

They'd need to register with HMRC if gross receipts are above £1,000 in a tax year.

UC would require any income from such work to be reported, any amount, and would make deductions unless the OP has the work allowance.

itsthelittlethings

CGold said:

Grumpy_chap said:

CGold said:

Grumpy_chap said:

CGold said:

I need to sell some stuff for my parents on eBay for example, would that count? 

Are you just selling your parent's old stuff or trading?
If the latter, are you registered as a Sole Trader and paying any income tax arising?  Are you registered as a private or business seller on eBay?

As I said, just selling my parent's old stuff. I know that trading is different.

Then it's not earnings as I understand it 

I meant as in: they pay me to sell it for them. So a bit of casual labour for them. Like if I did some gardening for them or something.

I suppose they’re just trusting you to be honest. Try it, you have nothing to lose.

itsthelittlethings

https://www.gov.uk/set-up-as-sole-trader

I suspect you can ignore most of this if you’re just making £20.

Grumpy_chap

Spoonie_Turtle said:

Grumpy_chap said:

Muttleythefrog said:

Now it sounds like self employment - providing a service for others and being paid for that

And the OP will need to register as Sole Trader and pay any income tax arising (allowances may be available).  UC will potentially want the earnings reported.  

They'd need to register with HMRC if gross receipts are above £1,000 in a tax year.

UC would require any income from such work to be reported, any amount, and would make deductions unless the OP has the work allowance.

Thanks - I had not explicitly mentioned the £1k threshold.

If the OP is currently claiming UC, and not working, and not being sanctioned, then does that imply that the OP is within a category that avoids work-related requirements within their claimant commitment?
If so, and the OP starts self-employment, will that affect their claimant commitment requirements going forwards?

Northern_Wanderer

CGold said:

Grumpy_chap said:

CGold said:

Grumpy_chap said:

CGold said:

I need to sell some stuff for my parents on eBay for example, would that count? 

Are you just selling your parent's old stuff or trading?
If the latter, are you registered as a Sole Trader and paying any income tax arising?  Are you registered as a private or business seller on eBay?

As I said, just selling my parent's old stuff. I know that trading is different.

Then it's not earnings as I understand it 

I meant as in: they pay me to sell it for them. So a bit of casual labour for them. Like if I did some gardening for them or something.

You are not employed by them which would entail a contract and reporting earnings to HMRC for tax and NI purposes. HMRC AI tool links accounts like paypal/ ebay/ social media accounts so they are scooping up a lot of information nowadays. 

Northern_Wanderer

Grumpy_chap said:

Spoonie_Turtle said:

Grumpy_chap said:

Muttleythefrog said:

Now it sounds like self employment - providing a service for others and being paid for that

And the OP will need to register as Sole Trader and pay any income tax arising (allowances may be available).  UC will potentially want the earnings reported.  

They'd need to register with HMRC if gross receipts are above £1,000 in a tax year.

UC would require any income from such work to be reported, any amount, and would make deductions unless the OP has the work allowance.

Thanks - I had not explicitly mentioned the £1k threshold.

If the OP is currently claiming UC, and not working, and not being sanctioned, then does that imply that the OP is within a category that avoids work-related requirements within their claimant commitment?
If so, and the OP starts self-employment, will that affect their claimant commitment requirements going forwards?

If the OP has LCWRA then they "could" be reasessed. If OP is claiming New Style ESA, they will have to inform DWP of the work on a PW1 form before they start work. 

Northern_Wanderer

CGold said:

I don't know, is it? The amount you had to earn used to be higher. I don't get the point of it being just £1. I don't work, so what I really want to know is if doing a very small amount of casual work would mean I qualify? I need to sell some stuff for my parents on eBay for example, would that count? 

You either work or you do not....the £1 is earnings and there has to be a cut off somewhere. If you earn £1 or more you are in work if you earned £0 you are not in work. 

strawb_shortcake

When I started HTS several years ago, the eligibility was calculated either through your NI number or the government gateway account. 
You'd need to have recordered earnings through HRMC to be eligible, doing casual off the books work wouldn't count.

Altior

For the OP, explanation of the rationale to the change here:

Help to Save accounts — amendment to the Universal Credit eligibility criteria - GOV.UK

Earned income points to the definition here:

The Universal Credit Regulations 2013