If you’ve been working from home since lockdown, you’ll probably appreciate the savings made on petrol, takeaway coffees and deli sandwiches.
But now that shorter days and colder nights have arrived, it’s important not to let costs creep up if you’re in the house all day.
SW&A has put together a list of four areas where you can save money.
Claim tax relief for your job expenses
You may be able to claim tax relief for additional household costs if you have to work at home on a regular basis, either part or full time.
Additional costs include heating, metered water bills, home contents insurance, business phone calls or a new broadband connection. They do not include costs that would stay the same whether you were working at home or in an office, such as rent or council tax.
You may also be able to claim tax relief on equipment you’ve bought such as a chair, laptop or mobile phone.
You can either claim tax relief on:
- £6 a week – you will not need to keep evidence of your extra costs
- The exact amount of extra costs you’ve incurred above the weekly amount – you’ll need evidence such as receipts, bills or contracts
You’ll get tax relief based on the rate at which you pay tax. For example, if you pay the 20% basic rate of tax and claim tax relief on £6 a week you would get £1.20 per week in tax relief (20% of £6).
Auto switch your utilities
The concept is that your gas and electricity switches to a new supplier when a better deal pops up without you doing anything.
Early release fees may be an issue but it you are at home all the time and like it hot, auto-switching may be the route for you if you can cope with the loss of control.
Opt for LED light
As it looks like many of us will be working from home well into 2021 it might be worth changing your light bulbs to LEDs.
They use 90% less energy than traditional bulbs and can sometimes pay for themselves in a couple of months.
Start a “rainy day” fund
If you’re going out of the house less frequently, whether it is to meet up with friends for a meal or to hit the shops, why not put the money you would probably have spent into a rainy day fund. Who knows what you might collect – and how you can treat yourself!