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UC & Rent a Room Scheme/Airbnb
- Kate
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2 days 5 hours ago #315045 by Kate
UC & Rent a Room Scheme/Airbnb was created by Kate
Can anyone recommend cheap/free financial advice? I'm newly divorced, single parent of 3 neurodivergent daughters, with disabilities myself, coming from domestic abuse setting of 28 years involving financial abuse, amongst other things. I'm a self employed artist trying to make ends meet and navigate the various benefits systems with Dyslexia, PTSD and anxiety, as well as ASD & ADHD. I was referred by Women's Aid to Universal Credit 3 years ago, to the Vulnerable Claimants Department, but they said they didn't have capacity to support me, so I've been working it out alone with my Case worker who has been fantastic. I've been audited/reviewed twice (along with everyone else) and had to explain my abusive background and the nuances of the financial abuse related to the joint account i had no control over at the start of the divorce, repeatedly.
From the start of the process and since then I have always been open about setting up my bedroom on Airbnb to make extra income while we all recovered, my caseworker said that was a great idea as rental income wouldnt't affect my benefits. This seemed odd to me but was backed up by other UC staff who did the reviews and trauled through all my bank statements/transations - no stone was unturned, noone had issue with me renting out a room on Airbnb.
Then last week I had a call from someone querying my childcare claim (for the 10th time over 3 years!), not understanding that people work Saturdays! Airbnb was mentioned in passing and she jumped on it. Accusing me of hiding this for 3 years. Next day my benefits were stopped and documents requested (most of which I had already given).
Now I've researched it further I can see that Rent-a-room scheme and Airbnb have a big grey area and I'm not sure there is an explicit definition that states the difference between Airbnb and a lodger. Some say it's the length of stay, some say it's the services offered, others say its whether you share your kitchen with them. If there is no official definition, no wonder UC staff disagree, but this is hardly my fault and is it ok to stop my payments without warning before it's been investigated, especially knowing I am vulnerable and we are a vulnerable household?
Her accusatory, unsympathetic tone has been really upsetting and triggering. I rely on UC to pay my bills, I'm living in the uncertainty of not knowing if it will be reinstated or not, whether i will have to pay money back i don't have, whether I will recieve some other type of punishment and how long this decision will take. The most recent review (separate to this issue) started in November and still hasn't come back from the decision maker.
I would have avoided Airbnb and had a lodger if I had known from the start, to be honest, the only difference would be the platform I use to find guests and how long they stay. Rent a room scheme states that Airbnb is included in the scheme if it's a room in your own house, classed as property rental income rather than self-employment income.
I was already anxious about being responsible for the finances of my family and not getting things wrong, this is all really scary. Is there any support you can recommend where I can check my options and financial decisions with someone to make sure I am making correct and the best plans for me and my girls going forward?
From the start of the process and since then I have always been open about setting up my bedroom on Airbnb to make extra income while we all recovered, my caseworker said that was a great idea as rental income wouldnt't affect my benefits. This seemed odd to me but was backed up by other UC staff who did the reviews and trauled through all my bank statements/transations - no stone was unturned, noone had issue with me renting out a room on Airbnb.
Then last week I had a call from someone querying my childcare claim (for the 10th time over 3 years!), not understanding that people work Saturdays! Airbnb was mentioned in passing and she jumped on it. Accusing me of hiding this for 3 years. Next day my benefits were stopped and documents requested (most of which I had already given).
Now I've researched it further I can see that Rent-a-room scheme and Airbnb have a big grey area and I'm not sure there is an explicit definition that states the difference between Airbnb and a lodger. Some say it's the length of stay, some say it's the services offered, others say its whether you share your kitchen with them. If there is no official definition, no wonder UC staff disagree, but this is hardly my fault and is it ok to stop my payments without warning before it's been investigated, especially knowing I am vulnerable and we are a vulnerable household?
Her accusatory, unsympathetic tone has been really upsetting and triggering. I rely on UC to pay my bills, I'm living in the uncertainty of not knowing if it will be reinstated or not, whether i will have to pay money back i don't have, whether I will recieve some other type of punishment and how long this decision will take. The most recent review (separate to this issue) started in November and still hasn't come back from the decision maker.
I would have avoided Airbnb and had a lodger if I had known from the start, to be honest, the only difference would be the platform I use to find guests and how long they stay. Rent a room scheme states that Airbnb is included in the scheme if it's a room in your own house, classed as property rental income rather than self-employment income.
I was already anxious about being responsible for the finances of my family and not getting things wrong, this is all really scary. Is there any support you can recommend where I can check my options and financial decisions with someone to make sure I am making correct and the best plans for me and my girls going forward?
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- David
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4 hours 34 minutes ago #315095 by David
Nothing on this board constitutes legal advice - always consult a professional about specific problems
Replied by David on topic UC & Rent a Room Scheme/Airbnb
Hi Kate
If it is just a room you provide your lodger then the rent is disregarded. Your lodger is expected to share the kitchen and bathroom. But if as you say you were to provide services such as meals then it would allow UC to state the service is actually Bed and Breakfast and could be classed as a form of self employment.
I am not qualified to make financial advice recommendations. I would have thought your case worked could look in your locality for you.
David
If it is just a room you provide your lodger then the rent is disregarded. Your lodger is expected to share the kitchen and bathroom. But if as you say you were to provide services such as meals then it would allow UC to state the service is actually Bed and Breakfast and could be classed as a form of self employment.
I am not qualified to make financial advice recommendations. I would have thought your case worked could look in your locality for you.
David
Nothing on this board constitutes legal advice - always consult a professional about specific problems
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