What do you pay your nanny?

[mumtotots]

Please don't be offended by this direct question, I'm looking for a full time live in nanny in Putney and I'm getting nowhere with the ones I've interviewed. I realise I might not be offering the going rate, But I don't know what it is!

Any straightforward and honest replies would be appreciated, change your name if you want! I don't want to be too personel, but I'm in a fix.

Thanks for all replies!

Thanks Soapbox - infact the £16,000 figure really made me worry. My nanny has only been with me for a couple of months, so not too late to rectify the situation.

thats good... i think you have 3 monsth to tell them anyway... so no fines for not telling them either! you still have a few weeks left!

I have interpreted that article as a woman done for fraud, this nanny person was claiming all kinds of benefits, tax credits and what have you whilst working as a nanny, I believe if she was working as a teachers aide, nurse or cook the sentence would have been the same. Yes she did not declare her earnings but the fact was (according to how i have read this article) that she was committing fraud not so much a non-declaration of her earnings. The reference to her not declaring was slight, but the fraud was foremost.

I have nannied for 12 years and unless there is a new rule the onus has always been on the parents to declare and pay my NI and tax, I have always been told that it was not my responsibility.

Sorry my last post is for ladymuck

I'm not sure all the onus IS on the employer. Yes, to pay the tax and NI to the IR etc, but working and accepting cash-in-hand is also culpable, is it not?

When I emplyed a nanny, I was anxious about the insurance situation - i.e employers liability, or if the nanny caused an accident to our house. I discovered that this was covered by my house insurance, BUT had something happened, I'm not sure that an untaxed Un-NI'd nanny would have counted for insurance purposes.

Tamula, WFTC and children's tax credit are now part of the tax system and not separate benefits. So if you underdeclare taxable income, you will be eligible for higher WFTC and possibly CTC if applicable. It is because the payments are cash in hand that she could do this - if the income is declared on a P60 it is hard to make a fraudulent claim for WFTC etc. The Inland Revenue (as it was then) took the lead in the prosecution - the other frauds (HB) were then taken into consideration.

The issue was not that she was a nanny - but that she misdeclared income resulting in a tax benefit to her (mainly in increased WFTC).

Blu - if the nanny does not declare the cash income on any form (tax return, WFTC claim etc), then yes they are liable. If they legitimately believe that tax and NI are being deducted, and either include the income on any returns, or have not been required to make any returns, then the main issue is NI entitlements imo.

Ladymuck, i do here what your saying and i agree but what i'm saying is that the onus is on the employer. Most nannies i know including myself do not claim anything at all, we get paid enough to get by. Tthe reason why this case is problematic is because this lady is a liar and a cheat. If the Inland Revenue caught wind of a simple nanny (not claiming a thing) working hasving not declared, she may get a slapped wrist but the penalties would lie with the employer (parents)

TAKEN FROM NANNYPAYE.CO.UK

Employers Responsibilities

The moment that you employ anyone in the UK a set of responsibilities must be adhered to. These are as follows:

? Registration with the Inland Revenue as an employer

? Provide a contract of employment between you and your nanny.

? Open and run a PAYE scheme on behalf of your nanny.

? Calculate, deduct and pay to the Inland Revenue Income Tax and Employee National Insurance.

? Calculate and pay to the Inland Revenue Employers National Insurance.

? Provide your nanny with regular payslips showing these deductions and additions.

? File an employers annual return.

Penalties

The Inland Revenue has a set of penalties for non compliance with the above responsibilities. The two most regular routes of penalty are a £100 per month fine for every late employers annual return and interest penalties on any late payment of tax.

i'm not agreeing with it mind you

Im a nanny and live in Wandsworth. Nannies around here get between £200 and £250 per week net for a live in position. This of course depends on age, experience, qualifications, duties expected etc. Hope that helps!

I worked as a live in nanny (non driver) in Parson green area in Dec 04, got paid 280 per week net. 3 children, 1 at school full day, 1 at morning nursery, 1 3 month old Nursery duties only

I worked in london/surrey and earned £450nett per week, ive-in with own flat and new golf to drive on and off duty for two girls, 4 and 2.

Wow Pol25! Some salary. What on earth did the parents do to afford wages like that?

F*ck me, I'm in the wrong job. All that money for playing all day, warming up a few nuggest and refusing to clean?

Nuggets even. Or spaghetti hoops.

LOL tanzie....
you OBVIOUSLY havnt got a clue about what 'us nannies' really do !!!!

Exactly

I'm in the wrong job too - there must be some very wealthy people out there! Was speaking to a friend on Sat who has a nanny and we were discussing pay levels. We have two other friends who are also nanny's and was told that I pay the best out of all 4 employers - but the ladies who pay less seem to be getting a lot more value than me.

But who's got the happiest kids mishmash?

ellasmum. you do not have to employ your nanny, with the resulting ni contributions - and all the employment legislation that you HAVE to adhere to. your nanny can be a self employed person, which means she is not your employee, in effect you are her customer and she bills you for her services, this means you have no employers liabilities in terms of ni, legislation, even things like notice etc. she simply declares to the inland revenue that she is self employed, and fills in her self assessment annually. a lot of people who would otherwise have been employers are doing this nowadays because of the extraordinary cost of employing people and the minefield that is employee legislation. if you want to email me about this, i can tell you all about it and the benefits to you and the nanny.

mytwopenceworth - that is not the case - this loophole was changed in the 2004 finance act which means that a person employed as a domestic helper including nannies cannot be self-employed on this basis.

It was actually the 2003 act - doesn't time fly!

Link to IR press release is here

ah, they tightened that up last year did they?? never mind.

(oh, you can still be a self employed nanny if you only do short term placements i have just been told!).