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UK Window Cleaning Forum => Window Cleaning Forum => Topic started by: daz1977 on April 07, 2010, 09:05:00 pm

Title: Cost of employing someone
Post by: daz1977 on April 07, 2010, 09:05:00 pm
hi,  if i want to employ some one on £8 x 16 h per week  total £128

i know that they pay tax and ni,  but what do i have to pay in NI and tax for them?

does anyone know
Title: Re: Cost of employing someone
Post by: mci services on April 07, 2010, 09:12:14 pm
daz it really depends on the employees tax code and do they have other employment or not
Title: Re: Cost of employing someone
Post by: mci services on April 07, 2010, 09:15:43 pm
but my lad was on 124.50 and i deduct a pound odd from him but i have to pay 3.51 a week NI if that helps
Title: Re: Cost of employing someone
Post by: daz1977 on April 07, 2010, 09:18:56 pm
cheers stu, i take it the £1 odd was tax and ni   and u paid 3.51 in NI as employers contributions
Title: Re: Cost of employing someone
Post by: mci services on April 07, 2010, 09:23:42 pm
no the pound odd is his ni contribution and along with my contribution as his employer totals 3.51

he pays no tax
Title: Re: Cost of employing someone
Post by: daz1977 on April 07, 2010, 09:30:35 pm
cheers mate,
Title: Re: Cost of employing someone
Post by: mci services on April 07, 2010, 09:37:00 pm
will he have any other paid work though because thats when it gets confussing. or if he has already worked part of the financial year etc. to be honest you get a disc from hmrc and just put the details in and it works it all out for you dead simple.

but the one thing i never took into account was extral fuel involved in picking him up and dropping off. if doing it again i would make them come to me and make him travel home at his own expence
Title: Re: Cost of employing someone
Post by: Ryan @ Transparent, Carlisle on April 07, 2010, 09:37:08 pm
was going to ask the same thing.

except i wanna employ someone for 10hours a week on minimum wage which i think is 5.80 so £58 a week [my woman needs a bit of extra ££ so thinking of employing her for admin. although she'd probably only do 3-4- hours a week]

with only employing for 10 hours a week would i have to give holiday pay etc.....
Title: Re: Cost of employing someone
Post by: mci services on April 07, 2010, 09:52:35 pm
yes shes entitled to holiday pay i cant remember the exact amount. for full time staff its now 28 days including bank holidays so if she works 2 5hr days she would be due 2x 5.6 =11.2 rounded up 12 days holiday pay
at that pay she would not pay ni or tax and neither would you as an employer but it may be worth paying her 16 hours and claiming tax credits. i dont know the ins and out of that though
Title: Re: Cost of employing someone
Post by: Gav Camm lammy 283 on April 07, 2010, 09:56:03 pm
cheap iv you employ a polish lol ;D ;D
Title: Re: Cost of employing someone
Post by: formb on April 08, 2010, 01:19:40 pm
I think you are meaning Employers NI.

You will have to pay ErsNI on top of the Employees NI which you deduct from their top line.

It is not particularly high, well it wasn't, it changed this week (April 6 new tax year).

I'll tell you how much it is after Friday.
Title: Re: Cost of employing someone
Post by: ivesonswc on April 08, 2010, 05:13:29 pm
if i was to aim for £25-30 per hour would that be a good enough hourly rate to cover employment cost
i will be working on my own to start with but want to take someone on in the future.
the reason i ask this question now is i don't  want to get to the employment stages to find i need to put my prices by huge amounts to cover the employment costs. ???
Title: Re: Cost of employing someone
Post by: daz1977 on April 08, 2010, 05:50:36 pm
u can earn 25-30 just working your self,  so u need more than that to make it worth while,

i think the rule is the employee has to make 3 times what there hourly rate is,  ie 8 ph they need to make 24 per hour
Title: Re: Cost of employing someone
Post by: formb on April 08, 2010, 06:01:51 pm
u can earn 25-30 just working your self,  so u need more than that to make it worth while,

i think the rule is the employee has to make 3 times what there hourly rate is,  ie 8 ph they need to make 24 per hour

What you are employing this guy to do. Go out solo?

I avoid putting guys out solo. Part of our "Risk Assessment"  ::)
Title: Re: Cost of employing someone
Post by: ivesonswc on April 08, 2010, 06:02:41 pm
thanks for that daz1977 so i won't be far out if i'm aiming for an hourly rate of £25-30 per hour per person so on £25 per hour i could pay an employee up to £8 per hour thats good to know
Title: Re: Cost of employing someone
Post by: daz1977 on April 08, 2010, 06:29:02 pm
r u sending him out on his own and u stay in the office?

because it wont work if you are,  he needs a round that makes 25 an hour and u pay him 8 ph then u have to pay tax, insurance fuel etc,  u need to be out on a round ur self earning 25 per hour,  the other thing to do is ge tthe business up to 25 per hour employ then canvess like hell to get the work up to 40 per hour then run it as a 2 man set up
Title: Re: Cost of employing someone
Post by: ivesonswc on April 08, 2010, 06:44:22 pm
yeah i will want someone to work along side me  i will be cleaning the windows to i couldn't sit in an office it would drive me mad
Title: Re: Cost of employing someone
Post by: formb on April 08, 2010, 06:45:07 pm
yeah i will want someone to work along side me  i will be cleaning the windows to i couldn't sit in an office it would drive me mad
;D
Title: Re: Cost of employing someone
Post by: formb on April 09, 2010, 02:12:55 pm
hi,  if i want to employ some one on £8 x 16 h per week  total £128

i know that they pay tax and ni,  but what do i have to pay in NI and tax for them?

does anyone know

Paying a guy part time;

Top line = 121.17

He pays tax and NI which is taken off his topline.

YOU then pay employers NI = £1.47

The more you pay them the more employers NI you have to pay;

Top line = £185.60

Ers NI = £9.66

Hope you understood that.
Title: Re: Cost of employing someone
Post by: ivesonswc on April 09, 2010, 02:20:51 pm
thanks for that i was just making sure i was aiming for the right hourly rate to employee becuase on top of employers ni will will to change my insurance to include employees to but to be honest  i will worry about the red tape when i get to the employment stages
Title: Re: Cost of employing someone
Post by: formb on April 09, 2010, 02:38:39 pm
thanks for that i was just making sure i was aiming for the right hourly rate to employee becuase on top of employers ni will will to change my insurance to include employees to but to be honest  i will worry about the red tape when i get to the employment stages

I use sage payroll which sorts out all the tax for you. It's about £60 + £20 per year for updates + support. Worth every penny. ;D
Title: Re: Cost of employing someone
Post by: daz1977 on April 09, 2010, 04:10:53 pm
cheers form b