Earning limit

[Sue_16021]

Hi everyone
I am new in the forum. My name is Sara. I am looking after my aunt. In the same time I work 16 h per week. After the minimum wage rises I got stuck and confused . As my weekly earning will be more than the earning limit,as a carer,which I think £110.
I deduct allowable expenses. I put some money in pension pot on May, which 50% will be deducted. However I feel like I am not doing it right. As DWP send me form called your reply that I have to fill and send back on 10th jun 16.
By the way I earn £499.2 per month. I put £46 in my pension pot. My questions are. Do you think £46 that I put in my pension is enough to keep my monthly wage down?? If not .how much shall I put in my pension to be in the safe side?? Also I buy disposable gloves and aprons as tools. But I never keep the receipt my last question is there any difference between getting carers allowance weekly or every 4 weeks I mean it may conflicts with my monthly work payment ???
Thank you so much I really appreciate your help and advice.

[Henrietta]

Hi Sue
The monthly earnings limit works out to £476.67per month so your earnings exceed this by £22.53, so doubling this would be £45.06.
I would say looking at this that your £46.00 should therefore be adequate, but personally I would increase to maybe £50.00 if you can manage it. This allows for a little bit of error if pay is rounded up or down due to tax adjustments at year end for example. It also looks less like you are playing the system to the DWP!
Try and keep your receipts for gloves and things so you have something as back up in case they get picky. They really do take tiny amounts into account. I lost 4 weeks of CA when I first started because earnings were over by £2.00, so that £2.00 cost me over £200.00.
I get paid calendar monthly but CA comes in 4 weeks ( after 2 years of being an irregular earner which is another long story and don't go there!) It makes no difference, just different things landing in your bank account at different times but will not affect your employer in any way.

[Sue_16021]

Hi Henrietta,
Thank you so much for your quick reply. You are Really helped me
Could you please tell me how much they deduct from you tools expenses? ? I always buy from Amazon I think I could print some receipts if they ask for it and send to them. I will amend my pension to £50 as you said to stay in safe side. I am very bad in dealing with numbers as I have deslixia.
Thank you veryyyyyyyyyy much

[Henrietta]

You are welcome. I'm not sure about tools for expenses as I've never submitted anything like that for caring expenses but I would think you can claim the whole amount. I'm sure printed amazon receipts are acceptable for on line transactions. In the future just try to remember to keep the slip that comes with delivery.

[Sue_16021]

Thank you so much Henrietta.

[Sue_16021]

Thank you so much Henrietta.

[Scally]

I claim for my home phone line rental, broadband, and my mobile, as all are required to do my job. My most important 'tool' is my car, as that is a work necessity, and by leasing it on a Personal Contract Hire I can charge the full monthly payment as a work expense.

Personal Contract Hire is essentially the same as Contract Hire but is exclusive to private individuals. Offering the same benefits as Contract Hire, it provides fixed cost motoring and is an alternative option to those who may have opted out of a company car scheme.
Personal Contract Hire provides you with hassle free motoring without the residual value risks associated with traditional ownership. Maintenance packages may also be available, helping avoid any nasty surprises.

VAT is built into the monthly payments, but is not reclaimable by private individuals.
Personal Contract Hire benefits are:
Allows you to hire new or used vehicles
Includes a full-term Road Fund License
offers the option to include a full maintenance package, providing worry-free motoring.

I also save 50% of all my earnings into a pension plan - I can draw this down in a series of small lump sums at any point, with the bonus that means I am effectively saving 5% income tax for every pound saved and drawn in this way.

[Scally]

You mention you buy from Amazon? Does this mean you work from home? If so you can also claim a certain amount for heating and lighting the space that you use for work etc .. a sort of notional office or workshop rental.

[Sue_16021]

Hi Scally
Thank you for clear explanation. I didn't know that I can include mobile expenses as I always book/ cancel/ schedule her appointments, calling the council for home repair and check on her while I am at work...etc using my mobile phone. I will write this in the your reply slip they ve sent me.
Thank you so much

[Scally]

I agree with Henrietta, always best to leave a safe margin of error. I aim for well below £100 a week, with the result that for the past two or three years I have not been asked to provide accounts at all, just the general rider that 'if my circumstances change it is my duty to inform the DWP, blah blah blah'.
That's just as well: I was reaching the point of thinking of charging them for my time doing their accounts on an hourly wage as a book-keeper,