Tax, N.I and Paying Your Nanny
What is the Current Tax Threshold?
You must register and pay N.I. on behalf of your employee if you pay them £136 or more per week. You must also register if your employee has another job, even if you pay them below the threshold.
If you pay between £102 and £136 and your employee does not have another job you should still register as an employer although no Tax and N.I. will be due. This will enable your employee to receive state pension and other benefits. Tax is only payable if you pay your employee £143* or more per week and they do not have another job.
What Tax and N.I. Payments do I Pay?
If your monthly Tax and NI bill is below £1,500 you only have to pay Tax and N.I. to HMRC on a quarterly basis.
For further information please refer to www.nannytax.co.uk where you will find specific details in answer to your questions. This site is updated within the current laws and stipulations required when hiring a Nanny whether it be part time hours or full time hours.
Paying Your Nanny.
The current pay and rates for a Nanny are dependant on their qualifications and experience.
A Nanny is paid between £75 – £135 per day over an average 9 hour day. More extensive hours may be at a negotiable rate depending on the duties and responsibilities involved, as well as depending on the ages and number of children being cared for.
These terms are always negotiable between the parents and the Nanny at the point of interview and these figures, quoted by the Agency, are a guideline for your information only.
The hourly rate of pay is between £8 – £15 per hour, again subject to negotiation.