JSA and rent a room scheme.

[theTinker]

Hi,

I'm on JSA for a number of weeks now. I am recieving help from the HSE to pay my mortgage interest too.

I am considering allowing a friend to rent a room from me. She is stuck looking for a place she can afford and ive a spare room.

However I am unsure if this will affect my SW payments. I get full JSA as my sole income. Does anyone know how much rent I can charge without reducing my payment?

Also, Can the tenant claim rent allowance as i am not offically a landlord? We are both very unsure of how to do this.

Any advice would be most helpful please. Thanks.

 

[pudds]

Effect of rental income on social welfare payments

If you are getting a means-tested social assistance payment from the Department of Social Protection, any rental income you get will be assessed as means and may affect your payment. However, rental income will not be assessed as means if you are getting a State Pension (Non-Contributory) or Widow's/Widower's or Surviving Civil Partner’s (Non-Contributory) Pension and you would be living alone unless you rented out a room in your home.

http://www.citizensinformation.ie/en/housing/owning_a_home/home_owners/rent_a_room_scheme.html

 

[gipimann]

Any income earned from the rent a room scheme will be assessed as means for your Mortgage Interest Supplement as well.

 

[Ildánach]

If your friend meets the criteria he would be able to apply for rent supplement. Officially you would be a landlord, although as you also also live in the house you would not have to register with PRTB (as i understand it)

There is no amount of rent you could charge that would not be assessed, the additional income disregard does not apply to this kind of income, and therefore every cent you get in rent from your friend will be assessed off your mortgage interest supplement.

 

[Granger]

If your friend meets the criteria he would be able to apply for rent supplement. Officially you would be a landlord, although as you also also live in the house you would not have to register with PRTB (as i understand it)

There is no amount of rent you could charge that would not be assessed, the additional income disregard does not apply to this kind of income, and therefore every cent you get in rent from your friend will be assessed off your mortgage interest supplement.

Unfortunately if you do the rent a room scheme while in receipt of a JA payment, this is assessed almost euro for euro aswell, so for example if you where recevining a max rate JA of €188 and lets just say you rented a room out for €100 you would roughly be deducted on your JA almost €90, so your new rate of JA would be reduced to around €98.