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PAUL ERITH

Paying an employee under £100 per week
« on: June 18, 2013, 09:21:31 pm »
My wife finishes work next month and i'm looking to employ her for a few hours a week to do admin, quotes, take calls etc

Her wage will be under both the ni tax threshold so if i'm read it right on hmrc i don't have to register as an employer is this right  ??? ???

http://www.hmrc.gov.uk/payerti/getting-started/register.htm#1

Has anyone else employed an adult for under £100 per week how do i put it through the books and do i still need to issue pay slips  ??? ???

#Confused.com

Thank You Paul

dave0123

  • Posts: 3553
Re: Paying an employee under £100 per week
« Reply #1 on: June 18, 2013, 09:24:00 pm »
record it as an expense like anything else but under the heading staff wages or salaries
Dave.

HampshireWindowCleaning

  • Posts: 600
Re: Paying an employee under £100 per week
« Reply #2 on: June 18, 2013, 09:27:08 pm »
Set up a standing order to pay your mrs £400 a month so the wages are on the record

PAUL ERITH

Re: Paying an employee under £100 per week
« Reply #3 on: June 18, 2013, 09:40:20 pm »
I just can't believe that i don't have to inform the hmrc that she is being paid a wage i just seems wrong.

I think i will try calling them again in the morning to double check this is right i know if its over £109 you have to register for real time paye.

Thinking about it i might be better paying her £110 per week so her NI gets paid and is up to date for her pension



Thanks Paul

stuart mc

  • Posts: 7775
Re: Paying an employee under £100 per week
« Reply #4 on: June 18, 2013, 09:59:00 pm »
it was a while ago I did it, but you still have to register yourself as an employer, pretty sure on that, the returns may be nil etc but I am sure I had to register and send nil returns

R.W.C.S

  • Posts: 82
Re: Paying an employee under £100 per week
« Reply #5 on: June 18, 2013, 10:06:52 pm »
Whether you intend her to be self-employed or employed, you'll still need to notify HMRC one way or the other.

If you intend to pay her self-employed, then she has 3 months to notify HMRC that she'll be self-employed, then she will have to file a return on Jan 31st 2015, like the rest of us.

If employed, you need to register as an employer, and notify HMRC (RTI its called i think) each time you pay her, either on the day before or the day of payment, even if it's nil tax and nil paye.

dave0123

  • Posts: 3553
Re: Paying an employee under £100 per week
« Reply #6 on: June 18, 2013, 10:10:09 pm »
Quote
If you intend to pay her self-employed, then she has 3 months to notify HMRC


Thats changed now.. you have to notify them within one week.
Dave.

R.W.C.S

  • Posts: 82
Re: Paying an employee under £100 per week
« Reply #7 on: June 18, 2013, 10:17:51 pm »
So it has... although i dont see a one week deadline any more.

Just "as soon as possible".

http://forums.aat.org.uk/showthread.php?30695-New-time-limit-for-registering-as-self-employed

Yikes the HMRC don't half make things more difficult.....

PAUL ERITH

Re: Paying an employee under £100 per week
« Reply #8 on: June 19, 2013, 08:19:08 am »
Just spent 15 min in a queue for hmrc put the phone down in the end >:(

PAUL ERITH

Re: Paying an employee under £100 per week
« Reply #9 on: June 19, 2013, 12:13:03 pm »
As long as her wage is under £109 per week the hmrc don't want to know anything and you don't need to register as an employer according the the person i just spoke to from the hmrc helpline ;D ;D

MATT BATEMAN (OWC)

  • Posts: 1821
Re: Paying an employee under £100 per week
« Reply #10 on: June 19, 2013, 12:19:33 pm »
I could've told you that  ;D

dave0123

  • Posts: 3553
Re: Paying an employee under £100 per week
« Reply #11 on: June 19, 2013, 01:35:01 pm »
isnt that basically saying u can earn a 100 quid a week cash in hand legally  ;D
Dave.

PAUL ERITH

Re: Paying an employee under £100 per week
« Reply #12 on: June 19, 2013, 02:04:41 pm »
isnt that basically saying u can earn a 100 quid a week cash in hand legally  ;D

Yeah i know still don't seem right i'm going to email my accountant to see what he says it might be better if i pay her above £109 at least then i can get used to paye real time before employing a none family member.

Thanks Paul

stuart mc

  • Posts: 7775
Re: Paying an employee under £100 per week
« Reply #13 on: June 19, 2013, 03:45:04 pm »
isnt that basically saying u can earn a 100 quid a week cash in hand legally  ;D
as long as they are no claiming anything no, and if they are they need to declare it

Re: Paying an employee under £100 per week
« Reply #14 on: June 19, 2013, 03:50:03 pm »
Make her a partner and use her tax allowance.

pncleaning

  • Posts: 296
Re: Paying an employee under £100 per week
« Reply #15 on: June 19, 2013, 04:25:55 pm »
£100 a week you tight wad haha  ;D ;D.  you putting her on a YTS scheme haha

8weekly

Re: Paying an employee under £100 per week
« Reply #16 on: June 19, 2013, 05:05:16 pm »
As long as her wage is under £109 per week the hmrc don't want to know anything and you don't need to register as an employer according the the person i just spoke to from the hmrc helpline ;D ;D
What if she had another job? Doesn't sound right. Not that I am contradicting what you say, but it just doesn't seem right.

stuart mc

  • Posts: 7775
Re: Paying an employee under £100 per week
« Reply #17 on: June 19, 2013, 05:21:52 pm »
As long as her wage is under £109 per week the hmrc don't want to know anything and you don't need to register as an employer according the the person i just spoke to from the hmrc helpline ;D ;D
What if she had another job? Doesn't sound right. Not that I am contradicting what you say, but it just doesn't seem right.

I see where you are coming from, I have no idea, does seem open to abuse when you put it like that

PAUL ERITH

Re: Paying an employee under £100 per week
« Reply #18 on: June 19, 2013, 05:32:10 pm »
As long as her wage is under £109 per week the hmrc don't want to know anything and you don't need to register as an employer according the the person i just spoke to from the hmrc helpline ;D ;D
What if she had another job? Doesn't sound right. Not that I am contradicting what you say, but it just doesn't seem right.

If she had a second job i would be classed as an employer and would have to register

Paul

PAUL ERITH

Re: Paying an employee under £100 per week
« Reply #19 on: June 19, 2013, 05:34:59 pm »
£100 a week you tight wad haha  ;D ;D.  you putting her on a YTS scheme haha


My wife is 3 months pregnant so in a few months she won't be doing many hours at all just doing admin and answering the phone.



Paul