Therapy Allowance

Full members of the co-op are entitled to a therapy allowance of up to £300 per month.

The allowance is pro-rated based on how many days a week the member works, with 4 days being 100%. For example: if you work 2 days, you can claim £150 per month.

For employees

This is a tax-deductible expense in the UK, so will not result in additional NI payments or corporation tax for the co-op, nor will the employee need to pay income tax on it. This only applies if the benefit is applied equally to all employees and the subject of therapy is listed in the HMRC internal manual: EIM21845 - Particular benefits: exemption for welfare counselling

Process

Each member is responsible for either asking their therapist to invoice the co-op directly, or letting the Operations person know the bank details, payment amounts and frequencies of payment.

For freelancers

The way this payment is treated depends on the tax laws of the specific country of residence. It may be treated as a source of income, and taxable at the applicable rate.

Process

Send your work invoices as normal, and include a comment stating how much was spent on health & wellbeing.