Nanny tax Post Reply

[Viktoria9]

Hi all,

Can someone help me explain how to employ a nanny (part time) through hmrc?
What step.we need to take to get the our nanny on the payroll....from the begining what extra fees might occur.

Thanks in advance
V

[Goldhawk]

You can register as an employer at HMRC and run your own payroll
Or use a third party service like Nannytax Nanny Payroll Services for UK Employers - Nannytax
 

[ceecee12]

I would say it’s better to use a payroll company. I use nanny paye for my nanny and they are great. It’s £199 for the monthly pay slips for a year. When you employ a nanny agree a gross wage. It legally has to be at min wage and above even for live in candidates. From the Nannys gross wage is where her contributions would come from. So the tax, ni and pension. However you have to set up a pension on her behalf which is about £60. Or you can go to a provider and set it up. She can opt out of this and that contribution will be part of her income and be paid within her wages. You legally as an employer have to have public liability insurance for your home incase of an accident. You also have to pay your own national insurance as an employer too. If you use payroll all the contributions can be calculated and you pay them every quarter to hmrc.

Also if you want an ofsted registered nanny you pay for the registration. As it’s not part of their professional criteria and it benefits you and not the nanny it’s something you should pay for.

Nanny paye can set up everything for you. Including a contract as well. They can discuss the costs also. I prefer them over nanny tax.

Please feel free to reply if you need more help.

[NVG]

I’ve used Nannytax for years and they’ve always been great. Super helpful and they do everything for you - including setting up a pension, just for a small annual fee. Every so often you get a reminder to pay the tax you owe to HMRC. It takes all the pain away.