Throughout lockdown, the number of people working from home has risen dramatically, with Coronavirus rules forcing offices to close and staff to instead carry out their role remotely.

Even today, as we approach August and begin to adjust to the ‘new normal’, working from home remains a reality for a huge number of people in the UK.

And with fears of a second wave, preventative measures are expected to be in place for some time yet, it may be a while until we’re back at our familiar old desks.

Of course, working from home has its advantages and disadvantages.

Being able to work in your pyjamas, look after children and grab a snack from your own kitchen is a huge bonus for some, but for others the lack of face-to-face interaction or no proper desk space can make working life difficult.

For the self-employed, one major perk is the working from home allowance, which permits those applicable to claim for a proportion of household bills.

The amount available depends on the number of hours you work from home, and with so many stuck indoors during their 9 to 5, it’s perhaps even more important now than ever before to look into it.

Official guidance from the Government says workers may calculate their allowable expenses using a flat rate based on the hours worked from home each month.

The guidance explains: “This means you don’t have to work out the proportion of personal and business use for your home, e.g. how much of your utility bills are for business.

“The flat rate doesn’t include telephone or internet expenses. You can claim the business proportion of these bills by working out the actual costs.

It adds: “You can only use simplified expenses if you work for 25 hours or more a month from home.”

The flat rate per month is calculated as follows:

  • 25 to 50 hours = £10 per month
  • 51 to 100 = £18
  • 101 and more = £26

Are you making the most of your working from home allowance? Cooper Accounting can manage the whole process for you, or even just provide a little guidance to set you on the right track. Get in touch