Guest Blog by Karen from Way2paye
Welcome to Karen from Way2paye our guest blogger this week.
Way2paye have extensive knowledge and the experience to offer you the service that you require and provide unlimited support and free advice on all pay and employment law issues.
You have found your perfect Nanny and now you need to organise all the important paperwork ready for their start.
Payroll, pensions and salary are things that parents often worry about and have several questions about.
Here are some answers to many of those questions.
Do I need to register as an Employer?
If you are paying your Nanny above £120 per week you will need to register as an Employer. As part of their service Way2paye will take care of this for you, not registering is a criminal offence.
Can a Nanny be Self Employed?
This question pops up all the time. The answer is no, Nannies do not normally meet the HMRC criteria for the Self Employed. There are some exceptions whereby HMRC will grant a Nanny Self Employed status – if they work as a temporary Nanny or as a Maternity Nurse.
As an Employer you will need to “automatically enrol” your Nanny in a workplace pension scheme if they are aged 22 or over and earn above £10000 per annum.
Gross or Net?
A lot of Nanny’s still discuss salary in Net terms which as an industry we are working hard to change.
You should always agree a gross salary otherwise as an Employer you are liable to pay all deductions which will make up the gross salary such as unpaid tax.
Having a gross agreement is also beneficial to a Nanny as they will benefit from increases in the Tax Free Allowance each year.
Sick Pay and Maternity Pay
As an Employer you will need to pay SSP and SMP. As part of our payroll service we can talk you through this and make any claims on your behalf.
Peace of Mind
By using Way2paye you have complete peace of mind that your payroll will be calculated accurately and efficiently. We will advise you quarterly how much to pay HMRC and provide payslips, a P45 and a P60 when required.
They are happy to take on new payroll schemes and existing schemes currently administrated by you or other payroll services.
Get in touch to discuss your Payroll needs
Way 2 Paye took the hassle out of employing my nanny and were always readily available on the phone if there was a query. I would not hesitate to recommend them.
I'd like to say a huge thank you for your support and help over the years - since 2007 ! The service provided by Way2 Paye has been amazing - I recommend you to everyone. I don't think I've had a single hiccup in all these years which takes away a potential; stress. So a big thank you.
We may have a part time Nanny again in the future so I will be back in touch again if this happens.
Thanks for all your fantastic help over the years, as a working Mum there is no way I could have done this without your support, I can't believe it's been 9 years!
Wishing the whole team at Way2paye a very Happy Christmas & New Year.