Examples of when a client is paying rent or board

Scenario

Is this rent or board?

Reason

Janine and Robert own their own house, it is a 3-bedroom home.

They decide to advertise for a boarder to help reduce some of their costs. They advertise $150 for the room, food, power, and internet.

Imogen agrees to move in as a boarder.

Board

This is a boarding arrangement. The amount Imogen pays for her accommodation includes food and other costs. The different costs can't be separated out from what she pays in total.

Isabelle is an international student who moved from Russia to Wellington for study. Isabelle lives with her host family in Wellington while she is studying.

Isabelle pays a board fee of $250 a week, this covers internet, electricity and 3 meals every day.

Board

This is a boarding arrangement. The amount Isabelle pays for her accommodation includes food and other costs. The different costs can't be separated out from what she pays in total.

The boarding arrangement also includes taking on additional responsibilities for the international student.

Randall is living in a social housing property with his brother. His brother is the signatory of the property, and Randall is an additional occupant.

Randall pays his brother a contribution of $300 a week towards accommodation costs.

The contribution amount includes payment for accommodation, food, power, and internet.

Board

This is a boarding arrangement. The contribution amount includes food and other costs. The different costs can't be separated out from what Randall pays in total to stay in Social Housing.

Randall is also an additional occupant in Social Housing. Regardless of what the contribution amount covers, only 62% of the contribution can be considered the accommodation cost.

Dani is living in a social housing property with her parents. Her parents are the signatories of the property, and Dani is an additional occupant.

Dani pays her parents a contribution of $270 a week towards accommodation costs.

The contribution amount is for accommodation only.

Board

This is a boarding arrangement. Dani is an additional occupant in Social Housing. Regardless of what the contribution amount covers, only 62% of the contribution can be considered the accommodation cost.

Dorian, George, and Vincent live in a flat together. They are each responsible for paying $200 a week.

Separate to their rent, they pay power and internet which is roughly $325 per month ($25 per week each) and food costs them about $80 per week each. They all decide to put the money for their bills and rent in a shared account.

Each flatmate pays $305 ($200+$25+$80) into the shared account. Sometimes in winter the bills get more expensive so they each top up this account. Their rent is always paid out from the shared account each week to their landlord.

Rent

This is a flatting situation where the tenants are paying rent and not board. The only cost being paid to the landlord is their weekly rent. The tenants have organised their own power, food and internet. When these costs are shared among all tenants, this is not board.