Ebay and benefits.

cookingmama31

Hi

If you read my previous thread (interview under caution) you'll sort of see where I am coming from. I have been (for quite a while now) buying and selling on Ebay. I don't buy things to sell! I am a personal user not a buisness one. I have a clearout of clothes which no longer fit my children, I sell them for a few quid wrap them, post them and leave the money in PayPal which I then use to purchase new or second hand clothes of other sellers. My daughters use it too they have regular pocket money off their grandparents which they use to buy games, books, toys etc and when they are bored I let them take pics, write descriptions and sell them on. It keeps them quiet and it's something they really enjoy. Now after this IUC I have become concerned that my Ebay use is going to be questioned and what I would like to know is am I doing anything wrong regarding my benefits? I don't transfer the money to my bank, whatever myself and the kids sell we do leave in PayPal. I have been an ebay account holder for about 2 years and at Xmas time I did buy quite a few items from there for the kids basically because I can't afford brand new and I really don't see the point in paying full price at a shop when on Ebay you can get what you are looking for at such a low price. I sell my old clothes and shoes and members of my family have used my account to buy and sell things on. Again they prefer to leave the money in PayPal and my mum/dad/brother bid on whatever they wish to buy with the money they have made from their sale. I really haven't a clue about what the rules are concerning benefits (I get IS) and I would love someone to give me a bit of advice. The most I have made in a clearout is about £90/£100 and this is not a regular amount it's every few months. Thanks to anyone who replies, I am going to give the CAB a call later to see what advice they have!

Bean_Counter

I'm not sure what the position is regarding benefits.

However I can look at it from a tax angle. As you are not buying with a view to selling to make a profit, regardless of the volume, then I do not think you are in business. Hence any money made is not taxable as it for personal use.

I'm sure that someone knowledgeable about benefits will be along to help you out.

TASHMA

When I was seen by a benefits officer (not under caution) I was told that Ebay was a 'grey area' and as long as you don't buy to sell (this was about 18 months ago - not sure if things have changed). But you are allowed to earn £20 a week on IS - although you are supposed to declare it. TBH, I don't think they know what to do about it as so many people on benefit will buy and sell from time to time. I think that as long as it isn't huge amounts of money then I wouldn't worry about it and you are right to seek advice. Hope it goes alright for you.

cookingmama31

It is TBH an area where the BA must really get stuck! For example a friend of mine recently gave me bunk-beds for my children, (she had moved and her children were having seperate rooms) so the two beds I had been using for my sons which were only a few mths old I sold onto another friend for £100. Now again is this something I have to declare? If you already own something is it classed as an income if you choose to sell it on? I have many friends who sell their things on a car boot sale every now and then and make a few quid, things they no longer need or use. Where do the BA draw the line on these things?

[Deleted User]

This thread got me thinking about another area,if someone is playing online bingo sites and has over a period of weeks made small profits would this be of interest to the benefits people,im not talking hundreds£ here more like £30 here and £20 there(nett winnings)???Does anyone think this should be declared to them?
After all if one was going into a high street bingo hall and winning cash they wouldnt know,i suspect the answer might be that as long as your winnings dont take you over the savings threshold it wouldnt be a problem
ANYONE got any idea how the social view this?
thanks

cookingmama31

I don't play bingo but I see where you are coming from. My parents have always helped me out with school uniforms. Especially with my eldest daughter who is at high school. Her blazer alone costs £30 and everything has to be purchased directly from the school! Last year my parents gave me £50 towards it. Again is this classed as an income and should I declare it?. My parents are both at work surely they can help provide for their grandchildren. They have also helped me out with bills in the past. I am only thinking about all of this since my IUC last week and wondering exactly what you are allowed to have whilst claiming IS. Obviously if you go to bingo and win a small fortune it would take you over the savings amount you are entitled to have and you would have to declare it but like you say do small amounts matter? I really think the DWP should maybe change the IS forms or provide a leaflet explaining better the rules of IS and any other means tested benefits. I genuinely don't know where I stand and I find every employee of the DWP has a different take on things!!!!!

KylieFan24

Its a bit confusing when you are earning extra money from odd things while claiming benefits.

The problem is that the way benefits are worked out is always judged by a regular amount of money and if you are selling your own old bits and pieces on ebay that is never going to be a regular steady income, but then when you ask the benefits people if the money you are making counts towards your income they will probably say yes because as far as they are concerned that is incomings. Its all very confusing!

I made £80 recently on quidco through my home insurance which was too much for a paypal payment so it will get paid into my bank account so in theory next time the housing benefit people look at my bank statement they are going to question that amount and then they will probably add this to my monthly earnings, tell me I failed to tell them about a change in circumstances and reduce my benefit until I have another 2 months bank statements to prove that its not a regular income!!!

cookingmama31

Hopefully someone who works for the DWP will read this thread and offer a bit of advice!!!

I swear if I am lucky & win a tenna on the lotto on Saturday (with my very extravagant £1 lucky dip) I am going to declare it! LOL!!!!

advent1122

Talk about paranoid -
Declaring £50 from your parents to buy a school uniform or flogging a set of bunk beds?????????????????

Elle00

Hi, the rules are quite clear actually. You may not buy things to sell, but you MAY sell things you no longer use as this constitutes cashback NOT earnings.

You paid say £10 for an item of clothing out of your benefits. You then used it, outgrew it, sold it on for £1.50. Well that's the same as having only spent £8.50 on the item in question in the first instance.

It is cashback, not earnings - I'm certain of that because I too do this and made clear what the rules were before I did anything else.

The same applies when it comes to getting your Tesco Clubcard vouchers through or pay for something with your Boots Advantage Card. You can also earn vouchers or money from cashback websites without it affecting your benefits.

Any small amounts that you earn or you're given (that isn't cashback) should be declared but most people don't and this isn't usually something the DWP worry about. Strictly speaking you should declare every penny that isn't cashback but that said, I personally choose not to bother shouting from the rooftops any money I earn that's under £25pw (which is the benefit disregard for 08/09).

You're not doing anything wrong from what you've said in this specific thread (I haven't read the other one). I'd encourage other single parents to do the same as it's not only a way to make the finances go further but I'm always for recycling and making use of second hand things.

cookingmama31

advent1122 wrote: »

Talk about paranoid -
Declaring £50 from your parents to buy a school uniform or flogging a set of bunk beds?????????????????

LMAO!!!

After that IUC I feel like I should inform them of my every move!!!!!

They did ask where the £100 had come from and when I told her I'm sure she thought I was lying!!!