I'm sure many of us have done work for friends and family where we've been "paid in kind", bought a pint or maybe given a few quid cash-in-hand.

Obviously, work like this is supposed to be declared to the tax man, who always demands his pound of flesh. However, even the IRS would get sick of it if everyone declared every pint of best they'd been bought for fixing someone's printer.

So, what's the limit? What would you accept, knowing full well that you'll never put it on a tax return? Tick any that apply.

Anyone know if there is there an actual legally defined limit? That would make such decisions a lot simpler!

I think the most I've ever accepted was about 150pounds which to be fair some friends posted through the door as they knew I wouldn't take it from them.

If I earnt it - I keep it. All of it.

If i was doing it for a favour and they decided to give me something out of the goodness of their own heart then I wouldnt declare a single penny. Gordon takes enough money from me (and passes it to the great unwashed) as it is.

If it's not a cheque then it's not taxable (in my books anyway). The tax man takes almost £1000 a month off me as it is.

If the money is in return for something you've done "as a favour" and not as part of your job then there is no limit to how much they can give you and you don't have to declare it as it's a "gift". The only proviso is that if the person that gives you the gift dies within 7 years you may be liable for inheritance tax. As long as a record is kept then you don't need to declare it.

Most of my home work is done for back scratching but if I do work for a friend of a friend then I charge an hourly rate.

Ditto

Doing some heating work and electrical work on the new house, reckoned with about 250€ for the heating and a bit more for the electrician (he get 10€ an hour + materials) - he laid 20 new power points in the kitchen, a new tripbox and will replace the light switches and socket surrounds with something a little more modern...

If I do work for the family, I never charge - and it paid off Tina's family have had some help over the last 2 years, when their computers played up, now they are tearing down walls and wallpapering etc. in the new house.

I never charge for anything I do for friends or family. I prefer the barter system as both parties reckon they've got the best of the deal and the taxman is less interested in goods as opposed to cold hard cash.

I reckon the more you help people, the more you are likely to get help when you need it, eh Dave? Business is different though

Al

Interestingly you can get a lot more in terms of value by not using money for a transaction with friends/family, as long as you can barter properly of course

I agree, helping others is more likely for you to get help

That said I have got cash in hand of £200+ a week rarely but pretty much spent it in the shop... so I just got paid in goods instead of money lol didn't declare it as it was usually under the NI threshold and my only source of income at the time

I've only ever helped out friends and family and the jobs have never been daunting or significant enough to expect payment. I've helped a computer novice buy their first PC and learn to use it. I've acted as a taxi driver. I've helped with moving houses. Done a few bits and bobs of the handyman type stuff But given that it's friends and family, I've never asked for nor expected anything in terms of 'payment' - partly because I'm happy to help out and partly because I have a good chit-chat with the other person - it kind of increases bonding and strengthens relationships.

Sorry I misread the thread ,yes if I am paid cash no receipt then it's mine ,but friends and family by definition you help and they help back or very quickly become persona non grata wish I could lose a few clients too.

As much as I can get away with.

I earned about 3k tax free last summer. Plan to do the same this summer.

IRS? Are we in America now? It's HMRC, previously the Inland Revenue.