Work Allowance

/ˈwɜrk əˌlaʊəns/

Definitions

  1. (n.) A legally permitted deduction or exempt amount allowed from income, earnings, or benefits before calculating tax or benefits eligibility.
    The claimant's work allowance reduced the amount of benefits deducted from their earnings.

Forms

  • work allowance
  • work allowances

Commentary

Work allowances are commonly applied in social security and tax law to incentivize employment by protecting a portion of earnings from reduction in benefits.

This glossary is for general informational and educational purposes only. Definitions are jurisdiction-agnostic but reflect terminology and concepts primarily drawn from English and American legal traditions. Nothing herein constitutes legal advice or creates a lawyer-client relationship. Users should consult qualified counsel for advice on specific matters or jurisdictions.

Draft confidently with Amicus

Create, negotiate, and sign agreements in one secure workspace—invite collaborators, track revisions, and keep audit-ready records automatically.

Open the Amicus app