Simplified Expenses – Working From Home

If you work from home, then perhaps this would be a good read?

With thanks to Steve Bicknell, who is an active member of one of my LinkedIn Groups.

Steve J Bicknell Tel 01202 025252

Beautiful young woman with coffee using laptop in the kitchen

Most people working from home were claiming the £4 per week allowance based on HMRC guidance, but this has now been updated.

You can now calculate your allowable expenses using a flat rate based on the hours you work from home each month.

This means you don’t have to work out the proportion of personal and business use for your home, eg how much of your utility bills are for business.

The flat rate doesn’t include telephone or internet expenses. You can claim the business proportion of these bills by working out the actual costs.

You can only use simplified expenses if you work for 25 hours or more a month from home.

Hours of business use per monthFlat rate per month
25 to 50£10
51 to 100£18
101 and more£26

Example

You worked 40 hours from home for 10 months, but worked 60 hours during…

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