[Shrek]

Hi all , I'l be taking on my brother in law two mornings a week (as soon as he's had enough practice on my windows ) .
Il be paying £8 an hour (which he's happy with) for 8 hours a week (£64 a week) .

My question is - how do we go about it officially? He won't pay tax , Iv read I don't need to register as an employer on the Hmrc  website and don't need to pay him a pension if he's on less than £113 a week.

So what do I actually need to do?

Does he just register as self employed or as a sub contractor and away we go ?

Thanks in advance 👍

[Og]

Will he be self employed? Will he have his own tools, specify what hours he works and be responsible for the work if is not done or cocked up? Nope.

You need to employ him.

It's not such a ball ache.

[Shrek]

Yes il be employing him but no idea where to start - does he need to register with hmrc if I'm employing him?
Really don't know where to start..

[PHILIP HARDY]

Is this for real???      dont tell anyone.  Pay him his £64 and if any body asks hes helping you out for free as a favour from a relative !!!!  At least till you are sure he will stick around, If hes doing OK getting regualar work,  at some point in the future, register with HMRC as an employer. pay all the extra insurance costs and use the Yougov website, all the information is up there.

[Shrek]

Is this for real???      dont tell anyone.  Pay him his £64 and if any body asks hes helping you out for free as a favour from a relative !!!!  At least till you are sure he will stick around, If hes doing OK getting regualar work,  at some point in the future, register with HMRC as an employer. pay all the extra insurance costs and use the Yougov website, all the information is up there.

Yep it's for real 😳. He's been out of work for a while but can only manage 2 mornings a week . I just want to make sure I'm doing it properly , thanks for your advice 👍

[paul alan]

Im in wales, as part of business wales lm getting free consultation with a goverment based scheme who will walk me trough all this for free. If your in england maybe they have something similar?

[Shrek]

Im in wales, as part of business wales lm getting free consultation with a goverment based scheme who will walk me trough all this for free. If your in england maybe they have something similar?

Il take a look thank you

[Stoots]

Is this for real???      dont tell anyone.  Pay him his £64 and if any body asks hes helping you out for free as a favour from a relative !!!!  At least till you are sure he will stick around, If hes doing OK getting regualar work,  at some point in the future, register with HMRC as an employer. pay all the extra insurance costs and use the Yougov website, all the information is up there.

What most people would do.

Not the correct advice though.

If he's on less than. 113 a week you don't need to register for PAYE buy you are an employer

Speak to an accountant Shrek.

I don't have one but I arranged to speak to one for a free consultation, had about half an hour and asked them all sorts or questions about tax and employing and VAT and anything I could think of.

I walked away with enough info to be confident In staying doing my returns myself.

Also I am looking to employ part time soon and again you can do it all yourself including PAYE if you need to.

[Shrek]

Is this for real???      dont tell anyone.  Pay him his £64 and if any body asks hes helping you out for free as a favour from a relative !!!!  At least till you are sure he will stick around, If hes doing OK getting regualar work,  at some point in the future, register with HMRC as an employer. pay all the extra insurance costs and use the Yougov website, all the information is up there.

What most people would do.

Not the correct advice though.

If he's on less than. 113 a week you don't need to register for PAYE buy you are an employer

Speak to an accountant Shrek.

I don't have one but I arranged to speak to one for a free consultation, had about half an hour and asked them all sorts or questions about tax and employing and VAT and anything I could think of.

I walked away with enough info to be confident In staying doing my returns myself.

Also I am looking to employ part time soon and again you can do it all yourself including PAYE if you need to.

Awesome, cheers Adam - il speak to my accountant 👍

[Stoots]

The accountant told me you can do it all yourself including setting up payroll from the gov website.

https://www.gov.uk/topic/business-tax/paye

All the info is there.

However I was quoted £360 a year for them to do my accounts and do the payroll etc for 1 employee and of course help out with any issues along the way.

I didn't have an accountant but if I employed would as they are invaluable for things like this.

You don't want to get it wrong and get a fine.

[Shrek]

That's a good price , it cost me £372 for my accountant for my window cleaning & other business. Think il ring him Monday and find out the cost- nice 1

See the thing is , because he will only be working 2 mornings a week , I don't need to register as an employer. So the only thing I can think of doing is getting employers liability insurance, and paying him. Is there nothing else I need to do or him? Because it doesn't tell you what you do if you pay less than £113 a week?

[Stoots]

That's a good price , it cost me £372 for my accountant for my window cleaning & other business. Think il ring him Monday and find out the cost- nice 1

See the thing is , because he will only be working 2 mornings a week , I don't need to register as an employer. So the only thing I can think of doing is getting employers liability insurance, and paying him. Is there nothing else I need to do or him? Because it doesn't tell you what you do if you pay less than £113 a week?

A far as I'm aware although you do not need to register as an employer you still have to record their pay and report this to HRMC with using payroll software. Over 113 a week you need to register and use PAYE

I'm only going off what I was told and what I've read online, really just let your accountant do it, it's not worth trying to figure out.

[Slacky]

Refer to your accountant.


You'll find out why if you don't.

[Shrek]

Ok cheers lads , il speak to him tomorrow morning 👍

[Nameless Drudge]

The warning signs already exist if he can only manage 2 mornings a week. Inclement weather,van breaks down,you will still need to pay him.Also 5 weeks of holiday at 2 mornings a week.Employers liability and if he gets hurt in any way expect a claim! A rod for your own back springs to mind. Feel your brain frying when he is late or cutting corners and even worse if you see him texting.Phone in the van rule from outset.Family "tie" makes it worse.It could well slow you down and then any perceived benefits are lost.
You might well be forking out money for a hindrance.
There will be a day when you don't want to be working but he is expecting his £8 an hour.
On the plus side,hmmmm,I,m not seeing one.
These are some of the reasons why over the years many on here get rid of all staff and keep for themselves a manageable round and live in eternal bliss though you may well prefer different.
While all your intentions are most likely honourable your goodwill might disappear when you realise you became a charity.

[Shrek]

He'll be on a zero hour contract , which removes a lot of problems straight away

[Stoots]

The warning signs already exist if he can only manage 2 mornings a week. Inclement weather,van breaks down,you will still need to pay him.Also 5 weeks of holiday at 2 mornings a week.Employers liability and if he gets hurt in any way expect a claim! A rod for your own back springs to mind. Feel your brain frying when he is late or cutting corners and even worse if you see him texting.Phone in the van rule from outset.Family "tie" makes it worse.It could well slow you down and then any perceived benefits are lost.
You might well be forking out money for a hindrance.
There will be a day when you don't want to be working but he is expecting his £8 an hour.
On the plus side,hmmmm,I,m not seeing one.
These are some of the reasons why over the years many on here get rid of all staff and keep for themselves a manageable round and live in eternal bliss though you may well prefer different.
While all your intentions are most likely honourable your goodwill might disappear when you realise you became a charity.

And on the flip side theres guys out there with a dozen vans on the road obviously making a success of it.
If everyone let potential road blocks stand in their way no one would ever achieve anything in life.

Why bother, its too hard...

[Michael Peterson]

Nathan and Adam have opposing opinions here and strangly I think they might both be right

[windowswashed]

Employing family and friends has pitfalls.  They expect everything and take advantage of your kind, helping nature. You might be put out a lot of times doing them favours which they might expect of you being family or friends of yours.
Personally I would rather employ a total stranger and run it as a business as after all that's what it is and run it professionally and run it to suit you and not your friend or relative.  If the two of you fall out in time it can cause more hassle than it's worth but that's just my opinion.
I have employed in the past but I wouldn't employ family or friends and I kept it all above board with PAYE, sick pay, holiday pay, accountant, etc.
I don't employ anymore after a life changing illness affected my long term health.  Had to give up work for some time, but when I got better I looked at life and decided there are more important things in life than growing a business, so I settled for having my independence, freedom to choose my working hours within reason, together with a happy balance of work and life balance.
I hope it all works out for you both and he gets himself back on his feet with your help.

[KS Cleaning]

He'll be on a zero hour contract , which removes a lot of problems straight away

It doesn't remove a lot of the problems if you are giving him the same regular working hours week in week out, employees on zero hour contracts are entitled to the same benefits. Zero hour contracts are used mainly for employees who's hours will vary from week to week, as you have stated he will work 8 hours every week the zero hour contract will be neither here  nor there.