Taking in a lodger - a great way to boost income

We all feel the pinch in the current financial climate, and there is nothing scarier that feeling like you may lose the roof over your head if you can't pay the mortgage writes property blogger Lea Beven.

But one simple way to pull in some extra cash is to bring in a lodger. You wouldn't be alone - increasing numbers of home-owners are doing this in order to make ends meet.

Having somebody rent your spare room is not nearly scary as it sounds anymore. For a start, we at Limecastle can help you find someone and check them out.

In addition to providing extra income of between £300-400 per month. there are massive tax benefits allowing people to earn up to £4,250 a year totally tax free, with virtually no paperwork, using the rent a room scheme.

Just to repeat, that's £4,250 of tax-free earnings for you!

You just keep a record of what you receive for the year and then add it up at the end. If what you received is below the threshold, the exemption is automatic and you don't need to do anything.

How simple is that?

With increasing numbers of people working away from home during the week, many lodgers even return home to their families at weekends so there need be very little, if any disruption to your own social life.

Part of the scheme's service includes making note of working patterns to try to ensure the lodger and landlord has private time.

Most lodgers will expect a double bed, wardrobe and some sort of dressing table or desk that they can use their laptop on.

Many landlords also pipe the TV package into the lodger's room so that they can have their own space.

If you can supply wireless internet then that is a great plus.

You would also normally provide them with a kitchen cupboard, space in the fridge and either their own bathroom or the shared use of one.

Most lodgers are actually quite independent and will do their own cooking and washing, so don't feel like you have to mother your lodger or look after them too much.

It's easy to do - why not take the plunge?

My tip this week - read the rent a room scheme website guidelines if you're considering renting out your room.