Permitted work

[Sparks_]

I am on ESA in the support group and was trying to understand the 'permitted work' regs and I am so confused!

Wanted to find out how many hours and how much I would be allowed to do, plus if I decide to try and make my hobby pay a little do I need to inform DWP or can I just get on with it?

[rebel11]

Hi Sparks

 

https://www.gov.uk/employment-support-allowance/eligibility

 

Here's a useful guide (ME).

 

http://www.actionforme.org.uk/Resources/Action%20for%20ME/Documents/get-informed/Permitted-work-factsheet.pdf

[Sparks_]

So if I am reading it correctly as I am in the support group I can do the higher permitted work indefinitely ? I think they like to confuse people

[estellyn]

Yes, that's right. Just be sure to fill in pw1 form.

[Sparks_]

Yes, that's right. Just be sure to fill in pw1 form.

As soon as I start selling my knitted thingies I will

[wanton]

As soon as I start selling my knitted thingies I will

 

On that basis you will be trading as a self employed individual.

Consequently you should register the business with HMRC.

 

 

Fortunately being self employed does bring with it some advantages under the PW regulations.

 

 

The hours remain limited, but the 'sales' do not have to be limited - only the net profit. So obviously re-investing some of your sales back into stock will not be treated as income. The expenses you can claim are also a lot more lenient. There is also the fact that you could have a family member for example work for you and the income that you give them will not be treated as income for PW purposes.

 

 

However what you have to bear in mind is that whatever you physically do yourself (not what somebody does for you) must not be seen as giving doubt as to why you were found to be entitled to ESA in the first place.

[Sparks_]

On that basis you will be trading as a self employed individual.

Consequently you should register the business with HMRC.

 

 

Fortunately being self employed does bring with it some advantages under the PW regulations.

 

 

The hours remain limited, but the 'sales' do not have to be limited - only the net profit. So obviously re-investing some of your sales back into stock will not be treated as income. The expenses you can claim are also a lot more lenient. There is also the fact that you could have a family member for example work for you and the income that you give them will not be treated as income for PW purposes.

 

 

However what you have to bear in mind is that whatever you physically do yourself (not what somebody does for you) must not be seen as giving doubt as to why you were found to be entitled to ESA in the first place.

 

Thanks for the advice and no my knitting is about the only thing I can do!Dont think it will conflict with my ESA, I will check with HMRC as well