If you are in UK, you are responsible for deducting their tax and National Insurance Contributions. However, if you are paying them less than £90 pw, they will not be liable to NIC. If they have another job, or are in receipt of a pension, they may be liable to tax. It is always safest to get them to sign a form P46 (available from HMRC website). If in doubt, contact your Tax Office.
You cannot just make them self employed by telling them that they are - if they are wokring at your home, using your equipment, for the hours you dictate and at the rate of pay you decide, they are not self employed.
2007-02-26 20:37:42
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answer #1
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answered by fengirl2 7
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A cleaner in a private house is specifically excluded from Class 1 NIC. This means she is not an employee for NIC purposes. As a rule, what was the Inland Revenue follows NIC rulings and vice versa. Consequently, it is safe to treat her as self-employed.
Now if there is a business attached, even a home office, you may find that a PAYE Auditor will give you grief, so be wary if that is the case. You may then want to have the cleaner sign a P46.
2007-02-27 06:18:36
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answer #2
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answered by skip 6
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my mum's a cleaner and she has several people who she 'works for' for a few hours a week. She is basically classed as self employed by the law so has to fill in her tax forms herself and then pay whatever is owed. You would have no obligations to pay tax/NI/etc or even for holidays or sick pay although many of my mums clients do give her some holiday pay out of courtesy.
Hope this helps
2007-02-27 05:50:12
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answer #3
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answered by Sheepy 4
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you pay them for a service (and not as an employer) and then they work on a self-employed basis and are responsible for declaring their earnings and paying their tax and NI contributions.
2007-02-27 06:14:06
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answer #4
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answered by just trying to make a difference 5
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They are self employed so it is their repsonibility, not yours.
If you use an agency they usually have a time sheet which is again their responsibility to fill in correctly and submit.
2007-02-27 04:38:53
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answer #5
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answered by Marky 6
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For a couple of hours...Just give them cash in-hand. You won't be paying them that much to worry about tax.
2007-02-27 04:40:28
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answer #6
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answered by Afi 7
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make it clear that they are responsible as a self employed person to deduct tax etc from their total weekly income.
2007-02-27 04:40:06
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answer #7
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answered by Denise W 4
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