HELP! Employing a nanny for the first time! PAYE company recommendations?!

[firsttimemumy09]

Ok so I've found my nanny who we love and will start next month. I'm looking to subscribe to a PAYE company, looking round it seems to be Nanny Tax is the most recommended but is the most pricey! I need a company who will be on time, reliable, can offer me best advise especailly legal as I want to make sure I am acting correctly in the law and can offer contract for myself & my nanny. Ive seen some companies do not give contracts drafts so I need one who will.

PAYE seems to be my biggest concern as I dont want to be thrown with hidden charges.

What is the kind of standards i need to mention in the contract? I want things professional but also friendly as she is taking care of my child.

Any tips or advise how these things are done and the 'rules'.

Also apart from paying the nanny NI & tax is there anything else? I know employment NI is one.

Have you seen this affecting your personal tax for work or has it stayed the same?

Thank you in advance sorry for the MILLION questions! :)

Nannytax DREADFUL at mo. My friend has left them. I've found them a nightmare.

PAYEforNannies.co.uk - they have different service levels, think there is a package that does a bespoke contract. It will cost more than if you create the contract yourself.

Agree a Gross salary, not Net. Then you know that nannies taxcode won't change what you pay.

ACAS can be a useful source of information regarding employment law. Written Statement/Contract should be simple enough for you to both understand. Set out clearly the working hours, expected duties, annual salary, overtime pay rate (if applicable), holiday entitlement. Holiday entitlement can be the tricky thing - simply minimum is 5.6 weeks x working days per week or working hours per week, so a nanny working 5 days per week gets a minimum of 28 days paid holiday. You can provide more.

Sick pay - statutory sick only. You can then use your discretion to pay sick days.

Other costs:
Mileage payments (if nanny uses their own car)
Activity/outings budget

You need Employers Liability Insurance. Check your Home Contents policy as that may cover you as an employer of a domestic employee. If it does not, then call your insurer to ask if they can add it, if they can't then it can be obtained separately but is quite costly. Employers Liability Insurance

Did you get someone to create a contract or did you do it yourself?
Who would you recommend to use a payroll provider? Getting mixed reviews. I heard Nannywage is a no go online but then two people I know said they have been great?!

Thanks NannyNick for your helpful advise I will check ACAS and we have agreed on Gross salary :)

Haggismcbaggis - who are you currently using??

I'm probably going to use Taxnanny. They seem to be the cheapest at £100pa for what seems to be a pretty std service. But more importantly, each of the 3 times I have called to ask them questions (not even a client yet!) they have answered promptly and been helpful and given me useful advice. I think they offer a contract template when you sign up.