Employer not declaring full hours..how will this effect my SMP?

[MaternityNanny]

Long story short, I'm a nanny for a family 40hours a week. When I started it was part time 18 hours but changed within 3 weeks. However I have just had my pay slips from my employer and she is still only declaring 2 days a week.

I'm 8 weeks pregnant and now really worried about my SMP..she isn't aware I'm pregnant. Not really sure what to do I've been working 40 hours and don't want to only be entitled to 18hours on SMP as that's been all she is declaring.

I only just received my pay slips and they all confirm 18hours rather than 40! Although when I needed her to fill out a referencing form for something she did put 40 hours along with a 40 hour wage.

Help!

Help anyone.

Does the payslip show your correct income eg implying a higher hourly wage? If so it won't make a difference to your SMP - it's calculated on your income no matter how many hours you work :)

Hello,

Thanks for your reply. It shows 18hours at £180 net.

When really it should be 40hours at £400net then the gross total!

Feel so stressed out about this, completley unplanned pregnancy and really can't afford to be out of pocket because my employer doesn't want to pay tax on the hours we agreed!

I know I should of had payslips before now but she always said she forgot to print them off!

It will affect your 6 weeks at 90% salary as she's not declaring your full income. You need to take this up with her - you don't have to say its because of your pregnancy if you're not ready to tell her about it, but it needs sorting ASAP so that it's correct by your qualifying weeks for SMP.

So have you actually received £400 net each week?

Thank you.

Gosh I'm so nervous to mention it, she will know.

They are relocating in December. I'm due Mid October. What will happen to my SMP when they leave?

Thank you so much

but surely you would mention it anyway if you aren't being paid the right amount? pregnant or not you need this sorted

I have been getting £400net each week in my bank account.

Well its only now I found out as she has given me the payslips from September when I started. It was orignally for 18hours but it changed within 2 weeks.

Could it be an admin error? Does she use a payroll company?

Yes she uses Nannytax.

Maybe ill just tell her I'm pregnant and see what she says.

I would first tell her that your pay slips are incorrect and need correcting.

nannytax wont let her pay 400 and only declare 180! so she msut be telling nannytax it's 180.
call nannytax.

difficult siituation as if you report her they may be obliged to inform hmrc then it might be tricky... or you could collude with her and ask her to pay you the rest of your six weeks at 90 per cent off the books...

but at the end of the day as your employer she is the one fiddling the system... but the tax differential on 180 per week versus 400 is quite a lot for her to pay!! but thing is --she can reclaim all smp costs -see
www.nannytax.co.uk/my-nanny-is-pregnant-what-do-i-do

to pay 400 she needs to pay employee and employer tax and ni totalling a good deal more than another 100 -this example is for just 300 -

£415.70 per week. Take off the employee deductions of £81.01 per week and employer's NIC of £34.69 per week will result in a net payment of £300.

but by not declaring - she cant then reclaim the full smp from govt...

here is calculator -www.nannytax.co.uk/nanny-gross-to-net-pay-calculator# to pay you 400 she neds to pay gross 500

to pay you 180 net the tax etc comes in at only around 15£ ...so she is saving a heck of a lot of money only declaring 180 if that is what she is doing...

That's what she is doing, all makes sense now. She is so tight and really has no reason to be.

Oh dear how to bring it up..

Point out she will be able to claim back 90 per cent of 400 x 6 as smp if she declare it all.now ...otherwise she will have to pay you that amount from her pocket...

"I would first tell her that your pay slips are incorrect and need correcting"

I agree. There is a small chance it's an error which she could put right. There is also a chance she might change her mind about defrauding HMRC when she realises you've noticed.

In terms of SMP, you are entitled to receive all of it from your employer, even if your employment ends during your maternity leave.

Thanks for all the replies..

Awkward conversation coming this week!

Let us know how you get on, Good Luck

Never had to have this convo as I lost my DC.

Thanks for all the help and replies anyway x

So so sorry to hear that OP. thinking of you.

Longer term you should still sort this out as you could get into trouble as well as your employer if this is not sorted. Not your top priority at th moment understandably.

So sorry for your loss.

Please have this conversation anyway. She is diddling you out of NI contributions she should be making and she is defrauding the Revenue.

Also bear in mind that, if you conceive again, if your employment continues until (approximately) you are 25 weeks, you are entitled to maternity pay. Even if your job finishes before the baby is born. And she gets it all back in advance as a lump sum, so she isn't out of pocket.

Thanks for the support and advice.

Will sort it out asap.