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Discussion Starter · #1 ·
Hi all,

My wife (British) and I (American) are in the process of gathering FLR(M) renewal documents and I have a question regarding combining sources to meet the financial requirement of £18,600.

A little background: We are both professional musicians/teachers and don't make a lot of money so will need to use both of our incomes to meet the requirement. I've been with my unsalaried employer for part-time work since 2015 and will continue to have the same employer through next year. My wife's employers have fluctuated and right now she doesn't have one -- she's using self-employment income only for the time being.

So, we will definitely need to use our self-employment income as well as our unsalaried income to meet the requirement. I just need to make sure which time period should be used. I know that for self-employment income we must show the latest tax return (April 2016 - April 2017). But, what about for our unsalaried income? Should we use the same exact time period? If so, what category should we select for this income? (We won't fit into Category A or B since we won't be showing the last 6 or 12 months of pay stubs/bank statements.)

If we are to use the last tax year's income for all sources, should we also use our bank statements from that period? Do we need to show any documents that are more current? How about employment letters?

Any help at all would be very appreciated. Thanks so much everyone.
 

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Discussion Starter · #2 ·
Just wanted to update this and maybe it will help everyone understand it a bit better...

It turns out that my wife will actually meet the 18,600 threshold on her own. However, some of that income is money she made while working in Thailand (she had a temporary music teaching job over there for a few months in the last year).

I've been searching this forum for a definite answer on this but keep getting conflicting ones so I'm very sorry if this question has indeed been answered in the past:

Will the money she earned in Thailand count towards the 18,600 threshold? She is back in the UK now and we absolutely intend on settling here (her work in Thailand was temporary).

Thanks everyone
 

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If you are applying using self-employment for 1 year, you will use Category F combined with Category B. The income you use from Category B must fall in the same period as the self-employment income so April 2016-April 2017. You also need to prove that your self-employment and employment are ongoing.
 

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Discussion Starter · #4 ·
Thanks nyclon. Does this mean that the money she earned whist working abroad (un-salaried employment) will count towards the requirement?

Also, because she has completed her work abroad, her primary source of income at this moment is from self-employment so she won't be able to prove that her employment is ongoing. She is however able to prove that her self-employment is ongoing (many upcoming/well-paying gigs in the next year).

In other words, is she still able to count the income from a job she doesn't have anymore (Thailand job) as long as she has plenty of self-employment income in future?
 

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No. Since she no longer has that job it cannot be used to meet the financial requirement.

From FM 1.7:


Income under Category F or Category G can be combined with income from salaried and non-salaried employment, non-employment income and pension income in order to meet the financial requirement. However, unlike with other Categories, these sources of income must fall within the relevant financial year(s) in order to be included. Under Category F or Category G, all sources of income must fall within the financial year(s) relied on and must still be a source of income at the time of application. For example, to count income from property rental the income must have been received during the relevant financial year(s) and the property must still be owned by the relevant person at the date of application.
 

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Discussion Starter · #6 ·
Okay. Thanks again. Because of that, we will need to use both of our income to meet the requirement. I am self-employed as well but have also been in a part-time un-salaried job since 2015 and will continue to be in that job until summer '18. Questions regarding this:

1. So even though her tax return will show that she is above the 18,600, some of that income won't count because she's not continuing with the job that brought in a portion of that income?

2. I know that I need to prove that my part-time job will be continuing if we plan to use that income to meet the requirement, but do we also need to prove that our self-employment work will be continuing (i.e. proof that we have future gigs)? Or will our bank statements with gig deposits up to very recently suffice? Either way, we will be able to provide evidence but I'm just wondering if we need to show proof of future self-employment work or not.

Thanks again! :)
 

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Discussion Starter · #7 ·
Just to clarify my last post a bit:

1. If using a combination of self-employment and employment to meet the financial requirement, the most recent tax year must be used. If a person received income from employment during that period, they are only allowed to count that income towards the requirement if they still have that job at the time of the application. Is this correct?

2. For self-employment income, do we need to provide evidence of future gigs or is it acceptable to provide evidence of gigs dating from the end of the last tax year to the present?
 

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Discussion Starter · #8 ·
If possible I would really appreciate a response to my questions. Thanks in advance.
 

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1. Correct - Because when you combine categories, you need to meet the requirements for all of the the categories you are using. Both categories for income from employment (Cat A and B) carry the requirement that the employment is current at the date of application

2. You don't need evidence of continued future gigs
 

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Discussion Starter · #10 ·
Thanks for replying.

1. I understand what you mean, however isn't it true that I won't be meeting the requirements of either Cat A or B anyway? After all, I won't be using the last 6 months OR the last 12 months of employed income to meet the requirement --- instead I'll be using the most recent tax year for everything. In which case, the total income earned (income from employment combined with self-employment) during the tax year is sufficiently over 18.6k.

Btw, I'm not trying to argue with you or anything - just trying to fully understand this.

Really appreciate your insight.
 
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