Lodger/flatmate advice

[Clickbait]

Is it a friend that you’re helping out who wants to pay something towards their stay or is this a stranger/business relationship?

If it’s the latter you really need to get a contract signed that explains what is expected in terms of how the property is treated, when rent and utilities are due, and if you are taking a deposit it would be best to put this in the tenancy deposit scheme.

If it’s a more informal friendly relationship it’s still worth thinking what your ground rules are as that stops any bad feeling down the line or the need to nag.

In terms of what to charge, it’s fairly easy to look on flat share websites to find what the going rate is for a room in your area - just make sure you factor in room size and shared living space (some places, particularly HMOs no longer provide a living room for example, but they may have an ensuite). You can then flex up or down as appropriate. For utilities it would make sense to check what the bills are roughly per month, halve that figure and then take off the days that they won’t be there.

Obviously if you can do a like for like comparison for the month that makes most sense as you’ll use a lot less electricity in July than you will in January, likewise gas. Remember to include WiFi costs but discuss additional stuff like Sky TV or subscription services as they may not really use these.

 

[Witchfinder Sargeant]

If you charge less than £625 a month all in (so rent and bills) it's not taxable and you don't have to declare the income, so that's probably a good starting point - compare it to equivalent furnished rooms in the area.

make sure you both sign a lodger agreement that specifies things like amount due, when it's due, notice period, etc, just to cover everyone.

 

[Witchfinder Sargeant]

Don't forget that if you're claiming the single person discount on the council tax, having a lodger would mean that would need to be cancelled and you'll need to pay the full amount.

 

[Fifah1907]

Is it a friend that you’re helping out who wants to pay something towards their stay or is this a stranger/business relationship?

If it’s the latter you really need to get a contract signed that explains what is expected in terms of how the property is treated, when rent and utilities are due, and if you are taking a deposit it would be best to put this in the tenancy deposit scheme.

If it’s a more informal friendly relationship it’s still worth thinking what your ground rules are as that stops any bad feeling down the line or the need to nag.

In terms of what to charge, it’s fairly easy to look on flat share websites to find what the going rate is for a room in your area - just make sure you factor in room size and shared living space (some places, particularly HMOs no longer provide a living room for example, but they may have an ensuite). You can then flex up or down as appropriate. For utilities it would make sense to check what the bills are roughly per month, halve that figure and then take off the days that they won’t be there.

Obviously if you can do a like for like comparison for the month that makes most sense as you’ll use a lot less electricity in July than you will in January, likewise gas. Remember to include WiFi costs but discuss additional stuff like Sky TV or subscription services as they may not really use these.

Friend! Which is why I think I found it so difficult

Thanks both for your advice! I knew tattlers would know!

 

[Fifah1907]

Aloha had a Quick Look through the threads but couldn’t find anything like this

I’ve got someone semi moving in with me (Monday PM - Thursday AM) for a few months until her family move up. She wants to pay me rent/utilities etc but I literally don’t have a clue how much to tell her. And neither does she atm we’re both just avoiding the topic except for her saying ‘we need to figure this out’ every few days lol. Anyone been in this situation before and have any advice?

Thanks tattlers who have been through it all!