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 Post subject: Employing a driver
PostPosted: Tue Apr 03, 2018 10:49 am 
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Ive got a guy who only wants 1 day a week working, which is fine, but im having problems finding info or how to register him as an employee or me as an employer on a weekly wage of only £100 gross

its been 15 years since i last employed anyone and the goalposts seem to have moved, and no, i dont want him "self-employed"

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 Post subject: Re: Employing a driver
PostPosted: Tue Apr 03, 2018 10:53 am 
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 Post subject: Re: Employing a driver
PostPosted: Tue Apr 03, 2018 11:23 am 
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i think it best to say im paying £120/week to then register

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 Post subject: Re: Employing a driver
PostPosted: Tue Apr 03, 2018 2:59 pm 
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BEWARE you will be entering a world of paperwork and form filling although some of it is covered by Inland revenue software.

Even if the "employee" is earning less than minimum PAYE/NIC threshold you still will have to be registered and complete regular Paye returns and P60 end of year

If I were you I would think seriously about whether or not you want the hastle

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 Post subject: Re: Employing a driver
PostPosted: Tue Apr 03, 2018 3:05 pm 
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If someone is earning only £100 per week and no other income/pension then earnings well below threshold to pay tax. The £113 per week figure is the National Insurance threshold, so below that and they don't need to pay that either.

Therefore, if earning less than £113 per week then no need to register for PAYE because there's no tax or NI payable.

See this on the following page:

https://www.gov.uk/running-payroll

HMRC wrote:
If you pay an employee less than £113 a week, you usually only need to record and report their pay (unless they have another job or receive a pension).


Not sure precisely what that entails, but sure the info will be online somewhere, just a question of finding it. Suspect simply question of reporting employee's earnings once a year or so. Quick call to HMRC probably easiest way to find out.

If you do say you're paying employee £120 per week just to register and make it more straightforward then that'll probably just mean a whole lot of paperwork that you could probably do without, as Edders says.


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 Post subject: Re: Employing a driver
PostPosted: Tue Apr 03, 2018 3:08 pm 
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edders23 wrote:
Even if the "employee" is earning less than minimum PAYE/NIC threshold you still will have to be registered and complete regular Paye returns and P60 end of year


Are you sure? Suspect that's the significance of the £113 figure - below that there's no tax or NI payable, so no need to go the full monty PAYE rigmarole.

But as you say, declaring £120 would bring him into the PAYE system, thus a whole lot of paperwork and hassle best avoided. [-(


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 Post subject: Re: Employing a driver
PostPosted: Tue Apr 03, 2018 7:31 pm 
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StuartW wrote:
edders23 wrote:
Even if the "employee" is earning less than minimum PAYE/NIC threshold you still will have to be registered and complete regular Paye returns and P60 end of year


Are you sure? Suspect that's the significance of the £113 figure - below that there's no tax or NI payable, so no need to go the full monty PAYE rigmarole.

But as you say, declaring £120 would bring him into the PAYE system, thus a whole lot of paperwork and hassle best avoided. [-(


If you employ anyone you should register as an employer as you need a PAYE reference for employers liability which you must have :wink:

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 Post subject: Re: Employing a driver
PostPosted: Tue Apr 03, 2018 7:38 pm 
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edders23 wrote:
StuartW wrote:
edders23 wrote:
Even if the "employee" is earning less than minimum PAYE/NIC threshold you still will have to be registered and complete regular Paye returns and P60 end of year


Are you sure? Suspect that's the significance of the £113 figure - below that there's no tax or NI payable, so no need to go the full monty PAYE rigmarole.

But as you say, declaring £120 would bring him into the PAYE system, thus a whole lot of paperwork and hassle best avoided. [-(


If you employ anyone you should register as an employer as you need a PAYE reference for employers liability which you must have :wink:



say NOT - if wage is under £113/week


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 Post subject: Re: Employing a driver
PostPosted: Tue Apr 03, 2018 7:38 pm 
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5hit no wonder folk work cash in hand

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 Post subject: Re: Employing a driver
PostPosted: Thu Apr 05, 2018 7:21 pm 
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The trouble is with cash-in-hand is when you get older and realise you haven't got enough NI contributions for a state pension.

Someone who used to work for me when i had a bus company in London (on the books) told me his mrs was rushed into hospital with something serious. She'd worked in a pub for years. Tried to claim sick pay, but they said she'd never paid anything in to National insurance so couldn't get any benefits at all. It goes to show..


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 Post subject: Re: Employing a driver
PostPosted: Tue Apr 10, 2018 8:47 am 
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roythebus wrote:
The trouble is with cash-in-hand is when you get older and realise you haven't got enough NI contributions for a state pension.

Someone who used to work for me when i had a bus company in London (on the books) told me his mrs was rushed into hospital with something serious. She'd worked in a pub for years. Tried to claim sick pay, but they said she'd never paid anything in to National insurance so couldn't get any benefits at all. It goes to show..


if she had paid S/E NIC for 60 years she still wouldnt get SP as we cant claim it - its not paid to self employed

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 Post subject: Re: Employing a driver
PostPosted: Tue Apr 10, 2018 8:48 am 
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The point here is the driver needs payslips and pay would be better through the system as he is on some benefits but wants to stay legal.

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 Post subject: Re: Employing a driver
PostPosted: Tue Apr 10, 2018 8:58 am 
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wannabeeahack wrote:
roythebus wrote:
The trouble is with cash-in-hand is when you get older and realise you haven't got enough NI contributions for a state pension.

Someone who used to work for me when i had a bus company in London (on the books) told me his mrs was rushed into hospital with something serious. She'd worked in a pub for years. Tried to claim sick pay, but they said she'd never paid anything in to National insurance so couldn't get any benefits at all. It goes to show..


if she had paid S/E NIC for 60 years she still wouldnt get SP as we cant claim it - its not paid to self employed

Since when?

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 Post subject: Re: Employing a driver
PostPosted: Tue Apr 10, 2018 9:01 am 
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grandad wrote:
wannabeeahack wrote:
roythebus wrote:
The trouble is with cash-in-hand is when you get older and realise you haven't got enough NI contributions for a state pension.

Someone who used to work for me when i had a bus company in London (on the books) told me his mrs was rushed into hospital with something serious. She'd worked in a pub for years. Tried to claim sick pay, but they said she'd never paid anything in to National insurance so couldn't get any benefits at all. It goes to show..


if she had paid S/E NIC for 60 years she still wouldnt get SP as we cant claim it - its not paid to self employed

Since when?


since forever........... if your a director of a ltd company and a PAYE employee you can get it


Quote:
If you can't work because you are sick or disabled, whether temporarily or permanently, you might be able to claim Statutory Sick Pay (SSP) or Employment and Support Allowance (ESA). Usually, SSP is paid for the first 28 weeks of sickness if you work for an employer. Otherwise, you should claim ESA.



Quote:
ESA if you can't work because of sickness or disability. ... You might be able to get ESA if your Statutory Sick Pay (SSP) has run out or you can't claim SSP. For example, because you're: Self-employed.



Quote:
Statutory Sick Pay (SSP) is paid by an employer when an employee is unable to work due to sickness. If you are self employed you cannot get Statutory Sick Pay as you are working for yourself and therefore do not have an employer.

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 Post subject: Re: Employing a driver
PostPosted: Tue Apr 10, 2018 9:08 am 
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Well I think you are wrong. Self employed people can claim the basic pension the same as everyone else provided they have made the required contributions.

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