Moving a roomie into my house....

irishguy1983

Looking to move someone (a randomer) into my house....Would just be myself and the new person....

So is there any paperwork I need to complete? I presume I don't need to declare it as the first 14,000 is tax free....Anything I should be wary of?

Apologies if this question has been asked a hundred times before!

murphaph

You do need to declare it in your tax return.

Gumbo

14k tax free for 2017 onwards I believe but you do have to declare it in a tax return.

Dr_Kolossus

Don't think its the 1st 14k. Its up to 14k. 1 EUR more and I think you pay tak on the full amount. Unlikely you will get more than 14k from one rookie anyway.

irishguy1983

Dr_Kolossus wrote: »

Don't think its the 1st 14k. Its up to 14k. 1 EUR more and I think you pay tak on the full amount. Unlikely you will get more than 14k from one rookie anyway.

I won't even get the 12 K it is now....Only looking at 550 a month....

shugy

irishguy1983 wrote: »

I won't even get the 12 K it is now....Only looking at 550 a month....

For a room!

irishguy1983

shugy wrote: »

For a room!

Yes for a room!

Sleeper12

If you show it on your tax return & it's under 14k you pay no tax on it. If you do not show it on your tax return and revenue finds out then the money is taxable.
It's only tax free if you declare it

James Bond Junior

irishguy1983 wrote: »

I won't even get the 12 K it is now....Only looking at 550 a month....

Christ! I barely see half that from my lodger and I'm doing well!!

irishguy1983

Sleeper12 wrote: »

If you show it on your tax return & it's under 14k you pay no tax on it. If you do not show it on your tax return and revenue finds out then the money is taxable.
It's only tax free if you declare it

Sound - thanks.

I don't need to set up a lease or any jazz like that do I??! I presume there needs to be some type of contract though?

irishguy1983

James Bond Junior wrote: »

Christ! I barely see half that from my lodger and I'm doing well!!

Where in Gods name are you living???! The rate I am intending to charge is below average rates where I live...

km991148

yep declare it and do it all legit. Otherwise can be a mess.

irishguy1983 wrote: »

Yes for a room!

Seems reasonable - where is this?

James Bond Junior

irishguy1983 wrote: »

Where in Gods name are you living???! The rate I am intending to charge is below average rates where I live...

Down the country! I assume your in Dublin? My lad came down wesht from Dublin and couldn't get over the value! You lad pays more than my mortgage.

James Bond Junior

How does your paye public servant declare the money?

irishguy1983

km991148 wrote: »

yep declare it and do it all legit. Otherwise can be a mess.



Seems reasonable - where is this?

Do you have a link on where I can start in terms of being legit? I am clueless basically on how/where to start.....

Southside of Dublin....

Gumbo

James Bond Junior wrote: »

How does your paye public servant declare the money?

irishguy1983 wrote: »

Do you have a link on where I can start in terms of being legit? I am clueless basically on how/where to start.....

Southside of Dublin....

You can declare it throughout form 12 or form 11 or something along those lines.

You do it in October for the previous year.
You can do it online with ROS iirc.

Sleeper12

irishguy1983 wrote:

I don't need to set up a lease or any jazz like that do I??! I presume there needs to be some type of contract though?

No need for lease as such but you'll be looking for a security deposit with a months rent in advance so it's a good idea to have this in writing.

Sleeper12

PrettyBoy wrote:

You can't compare a room in Dublin to a room "down the country". Nothing unusual about a room in Dublin going for €550.

Agreed.
There are some in Dublin paying 100 Euro per week plus bills to share a room. That's 200 per week for the room if you can believe it

Sleeper12

James Bond Junior wrote:

How does your paye public servant declare the money?

Everyone in the country is supposed to file a tax return. Revenue don't bother with paye but technically return should be returned. This is where you can declare the rent a room scheme

Spanish Eyes

For OP, the "roomie" is a licensee and has few rights such as a tenant might have.

If it were me, I would get paid weekly, then if things go South, a weeks notice is all that's required.

No contract required, but it makes sense to draw up an agreement, including the rate, frequency of payment, whether guests are allowed overnight, use of communal areas, bills included etc.

Just a bit of common sense so all parties are aware of the set up.

irishguy1983

Spanish Eyes wrote: »

For OP, the "roomie" is a licensee and has few rights such as a tenant might have.

If it were me, I would get paid weekly, then if things go South, a weeks notice is all that's required.

No contract required, but it makes sense to draw up an agreement, including the rate, frequency of payment, whether guests are allowed overnight, use of communal areas, bills included etc.

Just a bit of common sense so all parties are aware of the set up.

Ummmmm....Okey dokey....

Hadn't really thought about the weekly thing but that could be handy...How would I draw up agreement?? Just throw together a few lines and get them to sign?

newacc2015

irishguy1983 wrote: »

Ummmmm....Okey dokey....

Hadn't really thought about the weekly thing but that could be handy...How would I draw up agreement?? Just throw together a few lines and get them to sign?

You don't have to give them any notice. They have zero rights. You could tell them to move out tomorrow legally.

There is no point doing an agreement as it's not legally binding. I would make house rules clear at the viewing eg no smoking in the house, how often the heating is to be on etc.

As other have said make the very clear house rules but don't put anything in writing as you will more than likely only give them (or make them think that they have) more rights than they are entitled to.

It's your home so it's important to make rules like how often they can have a person stay over etc clear from day one.

murphaph

Nothing in writing for fear it could be construed as a lease IMO. File your tax return (I think Form 12 is enough if you're PAYE so you can do that under PAYE Anytime, rather than having to register for ROS-Doing it on paper is for the birds when the online systems calculate everything for you properly, so long as you feed them the correct data).

I normally file my returns early in the year to avoid a rush in October. This year I let it slide all the way to early October (house build, busy!) and then of course my ROS digital certificate had expired and it was a rush to get a new one before the deadline, so save yourself the stress and always file in spring!

The weekly payment seems sensible. Make sure you don't offer "flat rates" on electricity/gas or your lodger will not give a damn about energy efficiency.

edanto

I would strongly recommend putting the agreement in writing. There is no risk of it being construed as a lease, the position is very clear in cases where the property owner is living in the house. The person renting is not a tenant, they are a licensee.

http://www.citizensinformation.ie/en/housing/renting_a_home/sharing_accommodation_with_your_landlord.html

Citizens Information wrote:

Before you arrange to rent a room in your landlord’s home, it is strongly recommended that the two of you agree some ground rules and put them in writing. If you and your landlord each sign and keep a copy of this agreement, you can both refer to its terms in the event of confusion or disagreement. These ground rules might include:

How long is the tenancy going to last?
How much notice will either you or your landlord have to give if either of you chooses to end the tenancy?
How much rent will you pay and how often (for example, weekly, monthly)?
How will this rent be paid (cash, cheque, standing order etc.)?
When will the rent to be reviewed and how much notice will your landlord give you of a rent review?
How are utility bills (electricity, gas, phone, water) to be divided between yourself and the landlord?
Will your landlord expect you to contribute towards refuse collection charges?
Can you have visitors to stay overnight?
Are there any restrictions regarding noise levels

Getting all of this written down and agreed forms a basis for a long agreement without dispute. The person sharing the room may be quiet and neat and prompt with payment..... but may move in a partner for 5 nights a week during the second month. Talk all that stuff through before it starts and you're less likely to run into issues.

edanto

edanto wrote: »

.. but may move in a partner for 5 nights a week during the second month. Talk all that stuff through before it starts and you're less likely to run into issues.

Having it in writing won't make any difference imo. If someone will try something like that they will do it either way and as I said I'd having nothing in writing it gives them something to wave in your face but doesn't increase your power. Either way you can evict them on the spot if they go against your house rules.

Nothing in writing and rent in cash only imo.