Correct, and no it's not confusing. Why would you write out that particular example? You'd write 135 415/1000, with the fractional part being written smaller of course. If spoken, there would typically be a breath between "thirty-five" and "and" which would create the necessary inflection to make it clear. I'm not sure whether this breath is large enough to qualify as a comma when written though.

More topically, "One hundred and thirty-five pounds and forty-two pence" would be used on a cheque.