# Surrogate on benefits



## Guest (Feb 10, 2014)

Hi everyone

Just wondered does anyone have experience of a surrogate who is receiving benefits and so has no other income except benefits? Wondered whether you have to receive less or no expenses for a surrogacy pregnancy in this case? I think in the US you receive less expenses or something but don't know how it works over here especially in terms of declaring expenses in the parental order?

x


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## ♥JJ1♥ (Feb 11, 2006)

why not ask Natalie or Lou the FF lawyers?  Good Luck


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## NatGamble (Mar 1, 2007)

Hi Babymonkey


The law is really messy on payments so there is never a clear yes-no answer to these kinds of issues.


This is how it works: The law doesn't make it illegal for you to pay a surrogate but when you apply for your parental order the court will look at the payments you have made. If they aren't satisfied that they are just 'reasonable expenses' the court will have to authorise them, which means a more complicated process. There is no definition of what reasonable expenses includes so the judge/court reporter in each individual case decides. 


To be absolutely safe I'd say be careful about paying a surrogate on benefits a sum which you can't justify as against her actual costs (things like maternity clothes and travel costs). The significance of being on benefits is there won't be any loss of earnings to include so it will be harder to justify a big figure. 


You do need to take care that everything is declared (cash under the table is not a good idea). 


Hope that helps.


Natalie


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## Caz (Jul 21, 2002)

Just as an aside to that, (Natalie you may or may not know this) is it worth your surrogate establishing whether paid expenses like are considered income by the DWP (and therefore will affect the benefits she receives)? 


C~x


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## NatGamble (Mar 1, 2007)

I always hate this question!
There is no clear law or policy on this, although I am aware of at least one case where the Benefits Agency threatened to withdraw benefits because of payments for surrogacy, so it is a potential risk.
The argument I would make (and I stress it is untested so just my view) is that expenses are not income for either DWP or tax purposes for the following reasons:
1.  Payments for surrogacy are designed to compensate for out of pocket expenses so there is no income/gain to disclose.
2. If there is an element of an inconvenience payment (which makes the first argument trickier), it is a one-off non-income payment (even if paid in instalments).  There is no employment relationship and the surrogacy contract is unenforceable; therefore it is not income.  
Yet another area of surrogacy where there is no real clarity...


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## Caz (Jul 21, 2002)

Thanks Natalie (sorry to raise a tricky question!) 

I figured it would be a grey area and not at all surprised the DWP seem to look on it as income. They'll pretty much find a way to wriggle out of paying anything if they can.  
Your argument sounds logical though. I daresay it's something that may get tested at some point. 

C~x


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## NatGamble (Mar 1, 2007)

No worries.  Tricky questions are great, I just hate not being able to give a proper answer!


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## Katie88 (Feb 7, 2013)

I am currently facing court action and prosecution for not declaring my £4k expenses after being investigated for 'benefit fraud'.

I argued that it wasn't disposable income but they argue it is income i didnt declare regardless of where it went.

I had to prove with evidence where i had spent every penny, which of course i couldnt.. so legal action is being taken against me. 

This has been going on now for 6 months, i am being made out to be a criminal for helping a couple become a family.

The system is a joke.

The sooner someone employs me the better!

All i can is if you are on benefits then you have to delare your expenses, and your benefits will be stopped. So surrogates on benefits will have to help with no expenses.. if you want to do it all legal that is


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