Active discussions

Please or to access all these features

Talk
Paid childcare

Discuss everything related to paid childcare here, including childminders, nannies, nurseries and au pairs.

Original poster

Can my nanny be self employed, or do I have to employ her??

42 replies

AlwaysOneMissing · 07/10/2012 20:34

A family member who is trained and working in childcare, has agreed to be our nanny.

However, we both feel it would be easier if she were to be self employed, with us just paying her an agreed gross wage, and she sorting her own tax and NI payments.

Is that allowed?

TIA

OP posts:
Are your children’s vaccines up to date?
Set a reminder
forevergreek · 08/10/2012 10:00

You an always pay someone like nanny paye if you can and they will sort everything needed for you

Original poster
AlwaysOneMissing · 08/10/2012 09:03

All these different rules and regs make it a bit confusing!

We don't want to make an enemy of HMRC though Grin so I will look into how to pay her tax and NI as get employer. It just seems a bit scary and official though!

Thanks so much for all the advice.

OP posts:
nannynick · 08/10/2012 08:36

Family member probably should say Relative and define what a relative is in terms of childcare law.

Being a relative does not change employment or tax law. Employment status is determined by various factors and 'big picture' of overall work.

AKiss - a relative does not need to register as a childminder but they can do so if they will be caring for non related children in addition to relations.

ceeveebee · 08/10/2012 07:53

Mumsnet guidance must need updating then as it says

You are allowed to pay a family member to look after your child in your own or your relative's home without that family member being registered as a childminder.

www.mumsnet.com/jobs/childcare-by-a-relative

Original poster
AlwaysOneMissing · 07/10/2012 23:03

And forevergreek thank you for that explanation - makes it very clear and simple to understand! Smile

OP posts:
Original poster
AlwaysOneMissing · 07/10/2012 23:02

Thank you so much for all your replies - they have been invaluable!

After some googling, I now understand how my nanny will be employed rather than self employed, so I will go through the correct procedures to pay her tax and NI.

Her house is not really suitable for childminding, and I specifically want DC to be at our home (long hours and quite young baby, so better in our own home).

Thanks again for all the posts.

OP posts:
AKissIsNotAContract · 07/10/2012 22:52

I think that if you are a paid childminder you must be registered even if you are looking after a relative.

ceeveebee · 07/10/2012 22:47

I don't think that applies if only minding a relative. Might be wrong but sure I have read that on mumsnet.

forevergreek · 07/10/2012 22:44

A childminder will have to do training/ have house checked by ofsted, ofsted registered, adhere to early years curriculum etc..

ceeveebee · 07/10/2012 22:36

Could she not be a childminder for you instead? She would have to work at her own home, not yours, and as far as I know family members can childmind without being OFSTED registered? But might depend on how close a relative she is!

forevergreek · 07/10/2012 22:25

the reason is you will be her employer. you will tell her what times/ hours/pay she receives

the difference with a childminder is that they can say they will have your child between x and x hour, and they tell you how much you will pay etc

the first means you are in charge, the second means they are in charge

(above is in simple terms only!)

Original poster
AlwaysOneMissing · 07/10/2012 22:20

Oh!!
Thank God I asked here!
Oops, I had no idea about that. She works in childcare but has never actually been a nanny before so we were not aware that we would not be allowed to do it that way.
Can I ask why? Blush

OP posts:
nbee84 · 07/10/2012 21:23

No. And if you went down this route and HMRC in vestigated this at a later date, it would be you that would be liable for the £3,000 fine and back pay of tax.

HolyAutumnGoldBatman · 07/10/2012 21:16

No.

An0therName · 07/10/2012 21:05

no unless she registers as a childminder and looks after the DCs in her house

Mama1980 · 07/10/2012 20:38

No

CelineMcBean · 07/10/2012 20:38

No. HMRC have very clear guidance on this if you Google.

Swipe left for the next trending thread