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Nanny working more than one job..Tax question?

4 replies

OverflowingMum · 27/01/2011 14:14

Have a quick question for all you knowledgable ones!
We have recently hired a Nanny - she started begining of Jan.
Currently she works 3 days a week, due to increase to 4 from mid Feb.
She is on a TermTime only contract, meaning obviously she is off all school Holidays.
I have signed up with PAYE for Nannies, and have just sent back all the forms, including one which she filled in a dn signed, which, amongst other info, states that this is her only job.
Yesterday however she told me she was doing a days work for the nursery where she used to work on Friday.(her day off from here)
Now, this is fine with me,no problem with her doing other work on her days off or in school holidays (and hse has mentioned looking for a holiday position in the future)
BUT I'm not clear what implications that may have for her tax?
We have negotiated a gross salary, so I'm not too scared! But will it make a difference to her pay from us in terms of tax etc...I had read somewhere that standard tax code could only be used for one job, then other jobs were on a different code meaning she would loose more in tax??
Also is it her responsibility to inform the tax peopl if she doing more than one job? Do we have any legal responsibility WRT informing anyone?
I dont think she is trying to con anyon , I just think she isnt terribly aware of tax rules and that sort of thing.
Any advice gratefully received!

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jaffacake79 · 27/01/2011 14:17

As far as I'm aware, you are her primary employer. The nursery will be paying her through a PAYE system too, and her tax should be adjusted accordingly. It might be worth her calling the tax office to check the situation.
She should receive a coding notice from them to tell her what's going on.

mranchovy · 27/01/2011 14:54

If you have agreed a gross salary with her you won't have any problems.

If you have that form (a P46) with her signature and the 'This is now my only job, but since last 6 April I have had another job...' box ticked then you don't have to do anything more.

The situation with her old employer depends on how they have treated it. If they have removed her from payroll and issued a P45 and then put her back on the payroll with a P46 which she has ticked 'I have another job...' this will be fine. Have you asked her for a P45?

But if they have kept her on the same payroll she will be getting double the personal allowance tax free. HMRC will eventually catch up with this and it will be messy, so for her sake it is probably best to get it sorted now which she can only do by talking to the nursery's payroll people. She should get a payslip with BR on it from them, and then everything will be fine.

mranchovy · 27/01/2011 14:59

Oh, just thought - it is possible she 'owed' them for Friday, or there is some other reason she is working it and she doesn't officially leave them until Monday or some later time so a P45 will follow then - you need to ask her if this is a permanent arrangement or just a one-off.

OverflowingMum · 28/01/2011 20:07

Friday was just an extra day they asked her if she wanted to do...
OK...well she hasnt given me her P45 yet..
She has signed the P46 for PAYE company
But she has now said to me that the Nursery have "kept her on the books" so I think this may mean they haven't issued P45, and may not have taken her off payrol and then put her back on different code...so potentially she could end up in a mess...Hmm
I will have to have a chat with her on Monday...although sounds as if technically we have nothing to worry about! But wouldn't want her to end up with a huge bill for underpaid tax....
Just to add I have no concerns about her commitment to our job, and she is fab ... but not sure she is fully clued up on tax and stuff...

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