Locum expenses: what you can usually claim
If you work as a self-employed locum, the costs of doing your job can usually be taken off your income before tax. Here is a plain-English guide to the common ones, and what to keep as proof.
The basic rule
For a self-employed person, an expense is generally allowable if it was incurred "wholly and exclusively" for your business. Costs that are partly personal can sometimes be claimed in part, using a fair business proportion. If you work through an umbrella company or are paid through payroll, different rules apply, so ask your accountant which applies to you.
Travel
- Travel to a place you work temporarily, such as a different practice, hospital or pharmacy each week, can often be claimed. You can usually choose between your actual vehicle costs or HMRC's simplified mileage rates (check the current rates on GOV.UK).
- Ordinary commuting between home and a regular place of work generally cannot be claimed.
- Parking, tolls, train and bus fares, and overnight accommodation when you work away from home may also qualify. Fines and penalty charges do not.
Professional fees, registration and insurance
- Registration fees for your regulator (for example the GMC, GPhC, GDC or NMC).
- Professional indemnity or malpractice cover, and other business insurance.
- Memberships of professional bodies and trade unions on HMRC's approved list.
- Checks and certificates that you need in order to work, such as DBS checks.
Training and CPD
Courses, conferences and materials that keep your existing skills up to date are usually allowable. Training that takes you into a new profession or a new line of work generally is not.
Equipment, clothing and supplies
- Tools of the trade, such as a stethoscope, instruments or specialist software.
- Uniform, scrubs and protective clothing that is specific to your work. Ordinary clothes you could wear anywhere are not allowable.
- Larger items such as a laptop may be handled as capital allowances rather than as a simple expense, so ask your accountant.
Running costs and professional services
- Accountancy fees, bank charges on a business account, and software subscriptions you use for your work.
- The business share of your mobile phone, broadband and any home office costs. HMRC also offers a simplified flat rate for working from home.
- Stationery, printing, postage and similar admin.
What you usually cannot claim
- Personal or private spending, even if it happened on a working day.
- Fines and penalties, and client entertainment.
- Ordinary commuting and everyday clothing.
Keep the proof
An expense is only as good as the record behind it. Keep the receipt or invoice, note what it was for, and file it under the right category as you go. A photo taken at the time is much easier than hunting for a faded till receipt a year later. Read more in our guide to keeping receipts for your tax return.
Keep it all in one place. Locum Tally is a simple income and expense tracker for UK locums: add shifts and expenses, keep a photo of every receipt, and export a tidy summary for your accountant at the end of the tax year.
More guides
This is general information for UK locums, written to help you keep good records. It is not tax, accounting or legal advice, and your circumstances may differ. Check with an accountant or on GOV.UK before relying on it.