is an honararium for joining a housing association tenant panel classed as income?

i work for a housing association and we are some inviting tenants to join a “Customer & Community Committee membership” for this they will receive an honararium of £1000 yearly

would this be seen as income for any tenants on income based benefits?

many thanks

Hmmm…  My initial instinct was that this *could* be regarded as earnings.  Even if not earnings, unearned income.  Off the top of my head, I can’t think of any way this could be disregarded.  It would be difficult for it to be regarded as voluntary income because it is being paid in return for something - it isn’t “no strings”.  Others may have further thoughts.

The word “honararium” is not mentioned in any of the “blue book” legislation or the DMG or HBGM. Therefore I suggest that it should be treated as other income.

Isn’t it the same problem as being paid for membership of any other organisation such as an NHS trust, being a local councillor etc?
If it is taxable under PAYE, then it’s earnings, in my view.

The amendment is now HB Reg 35(2)(d)

(2) Earnings shall not include–

(d) any payment in respect of expenses arising out of the claimant’s participation in a service user group.

“Service user group ” is defined in Reg 2,
“service user group” means a group of individuals that is consulted by or on behalf of–...

(b) a landlord authority in consequence of a function under section 105 of the Housing Act 1985,”

Section 105 of the 1985 Housing Act refers to consultation with those who are secure tenants, and so I dont see the honorarium for members of the residents panel in the present case as a payment in respect of expenses arising out of the claimants particpation in a service user group as defined by Reg 2.

The honorarium may not be payment of expenses but compensation for the time given by the residents. 

I believe that honoraria are taxable as earnings

excellent replies, thanks to all.

i’m just about to help one of tenant’s chllenge the DWP decision that an honararium is income included for benefits. i shall let you know the outcome when it arrives