help please! wondering about PT nanny and tax ...

[valbona]

we've just started looking for a PT nanny - max 12 hours a week. was wondering - with that number of hours would you normally sort their tax or not? I was assuming not, but wanted to check with those who knew!

thanks v much

Does not matter how many hours.
Agree a Gross salary and operate PAYE, that way you know you are doing things right and if HMRC want you to do things differently, they can tell you that.

There is a threshold amount under which you don't have to operate PAYE, think it's around £97 a week - check on the HMRC website. However I think that only applies if they don't have another job.

thanks - realise I need to investigate this properly!

Yes, you most likely would. Because - as nannynick mentions - generally you will find that you are her second job - not her main job - and you will therefore likely be hit for more tax than the main employer who benefits from the personal allowance (compare here with the main job calculator also linked to.
It is an unfortunate consequence of the way our tax system works.
Under a certain level you don't have to pay NI though, which helps a bit. One of the payroll companies will likely help you (without signing up) if you need to talk it thru generally.

Hello, I'm just starting employing a nanny for similar hours to you who also has another job. Having done stacks of research, I've gone to a nanny payroll company, just for peace of mind. It's only £125 annually for the service and I don't need to worry about not complying with the law with her pay etc.