Is a bursary taxable?

[The Negotiator]

My placement employer has made me a job offer and a bursary offer to try to keep me once I graduate. It is no strings attached so the company has told me to take it and there is no penalty if I don't take the job. It is a sizable amount and they want to pay it directly into my bank account (I have finished my contract so no longer on their payroll system).

What I can't find out is whether this is taxable income or not, I don't suppose anybody knows? I am googling it just now.

 

[MiG]

My placement employer has made me a job offer and a bursary offer to try to keep me once I graduate. It is no strings attached so the company have told me to take it and there is no penalty if I don't take the job. It is a sizable amount and they want to pay it directly into my bank account (I have finished my contract so no longer on their payroll system).

What I can't find out is whether this is taxable income or not, I don't suppose anybody knows? I am googling it just now.

nope. Not that i know of anyway.

 

[The Negotiator]

But everything I see about them being non-taxable is when they are specifically government arranged things like for PGCE, nursing and so on. I don't want to declare it without needing to.

 

[Stu DemonD]

This useful:

http://www.hmrc.gov.uk/manuals/eimanual/EIM06220.htm

 

[chrispyrice]

Depends on how the bursary is paid mate. And on your own personal tax code. In general bursarys are not taxed.. as they are meant ot be a non-repayable monetary grant based on financial need. But people have scammed the Bank Of England tax peeps before,.. claiming lump sums recieved from their own dodgy companys as Bursarys.. Thats a criminal offence, and holds a minimum sentace of two years in jail.. (tax fraud)..

In your case.. a lump sum...i would suggest opening a savings account with your bank... and having it paid directly into that.. preferably an account with high interest.. And questions asked from your own bank just claim it to be a Gift from parents/grandparents.

If your banking with Barclays..(which i hope you are).. open a day to day saver. Instant access and a good rate of interest, with no charges or withdrawal fees.

And to sum it up.. Take the money!! If you get taxed on it... fill out an R85 form which you can get from your bank.. Youll get it back even if your honest and saying exactly what it is..

I swear this was meant to be my day off work.. why on earth am i STILL giving financial advice!

 

[The Negotiator]

It will go straight into a high interest account don't worry It is not based on financial need, it is their way of trying to get my loyalty, but it could be argued that it is helping towards my final university year. Oh and thanks

 

[chrispyrice]

It will go straight into a high interest account don't worry It is not based on financial need, it is their way of trying to get my loyalty, but it could be argued that it is helping towards my final university year. Oh and thanks

They are offering it to you because they want you.. And they could have offered you a company car.. or a nice set of plates! But .. as a universti student, they have asssumed you sole NEED is money..

''but it could be argued that it is helping towards my final university year''

Thats their intention... They help you now, you help them later..

 

[jug]

beware the golden handcuffs

 

[The Negotiator]

Jug, do you honestly think I let them get anything on top of me? I told them to rewrite my job offer so that bursary was no strings (3 months notice) and that the already 20% higher than standard offer is negotiable before I start the job

 

[jug]

i never doubted you for a second, you're the negotiator

 

[dave]

oo free money. dont forget ff donation time again

 

[The Negotiator]

Ok ok wait until it goes to my account first