Employment status of childcare people

[tigger15]

DS is starting school in september which means that we need to rethink our childcare arrangements as current mix of childminder and nursery won't work. The idea that I've come up with is someone(s) to take him into school in the evening, pick him up in the afternoon and stay with him until 7pm and then school holidays. I'm still divided on whether it may be better to split this between 3 people.

I know people who have done this successfully and they informed me that if you do it in this way you don't need to pay tax or NI because the person is effectively self employed and providing a service. Is this correct? My recollection of the position 3 years ago was that if a person is employed by you then only if they earn less than £100 a week do you avoid paying them NI and if they are a contractor as opposed to an employee then again you will not be liable for NI. Does anyone have any advice on the above? From my very old law school books I'm not entirely certain how to apply the test to distinguish between independent contractor and employee in these circumstances.

[lifeinagoldfishbowl]

Can you get an aupair? And maybe ofset the aupair with a childminder?

[tigger15]

Possibly for the school holidays but not in the week as none round me will take them to school and I the only one who picks up is not legal and has loads of kids. Also we have no space for an au pair so she would have to be live out. In which case the employment issues remain the same as far as I'm aware. I was thinking of student or older lady who wants some part time employment.

[purepurple]

Have you looked at using breakfast clubs and after-school clubs?
Most schools have some sort of provision.Where i live the YMCA have a breakfast and an afterschhol club.
I am just thinking that being in childcare till 7pm is a long day for such a little person.
Also, taking a child to school or picking them up every day is a big commitment. Not sure you would get many takers for that.

[Missus84]

I don't think they could be self-employed in this situation - you would have to be their employer. Some people do pay their nannies/childcarers cash in hand but it's not legal and if you're caught you face a fine of thousands.

I think it's over £97 a week that NI kicks in, and over £125 a week that you have to run PAYE. You can use payroll companies that do this for you though.

As an employer you have certain responsibilities - a contract, paying minimum wage, holiday pay etc.

[frakkit]

Is there anyone at the new school who has a nanny you can share with?

Would you consider a nanny with own child?

Either way this person will be an employee with set hours and duties. The only way a person in your home can be SE is if they're in continuous temporary employment according to HMRC. As Missus points out the penalties for getting it wrong are high.

[tigger15]

Thanks for the advice. So far all the other parents I've met are either SAHMs or part time teachers who can adjust their schedules. No other f/t professionals (or even p/t ones). We have an open evening very soon so I'm hoping to meet others and see if there's anyone else I could share with. I was hoping to have to avoid employing someone f/t because it seems a waste when I'll technically need about 8am-7pm but ds will be out of the house from 8.45-3.30.