employing someone

[NoRush]

I've been self employed for 20plus years now and am thinking of employing someone for 16hours a week to help ease the workload (not enough work for a full week yet). On the money side of things what would i need to do (tax,ni etc). How much extra paper work is it. All advice will be greatly revived. Marc

[bikewoo]

Could be easier and cheaper to use a subby, or even set someone up as a subby, but only if they want to. Not a dodge.

[Stephen Blair]

The money and paperwork is no problem, it's how you can deal with a person that will make or break it.

 

Get the right person you can work with, both have the same way of thinking andis fantastic.

No matter how good a grafter, it you have different morals it will go sour and be stresfull, and it's niethers fault.

When you have done things your way for 20 years and you will be working very close to someone you need to get it right.

Take a look at the Staff thread and post your opinion on the situation.

[Mick Stockbridge]

Keep him s/employed. Just get a receipt for what you pay him and that's that. I would get employers liability insurance though......doesn't cost much extra on top of your pl ins.

[theflyingscotsman]

As I understand it:::

 

When employing 'subcontractors'

 

You've to be careful that your don't become his sole employer..

 

Ie: a self employed person has many bosses and pays his own tax

 

If your giving him/her 3days work a week and he/she has no other work

 

You are then deemed there employer and they technically have full employee rights.

 

Employers lia will cost you around 500-800 on top of your public lia.

 

IMHO.

 

[Kev Stephenson]

Employers liability is a legal requirement not a nice to have.

 

The paperwork (all computer based now) is easy with HMRC.

 

Costs need to include holidays (28 days per year pro rata) and you will have to pay employers NI however at 2 days per week if the employee doesn't do any other work there will be no employers NI to pay.

[MJH]

If you are considering being an employer, rather than taking on a self employed arborist, then it does involve working out their tax and national insurance each month/week (however frequently you choose to pay them) and seeing to it on their behalf. As a small employer, you can download BASIC Paytool for free off the HMRC website and it does the maths for you. More info about how to register and become an employer at HM Revenue & Customs: New employer - getting started

[northcountryboy]

And don't forget the new workplace pension scheme. Always best to get them to work for you self employed, get them to send you an invoice every month for the work they've done at the price you agree with them. You wont get into the murky world of paye, employment law, pensions, sick pay and holiday pay rights that a paye employee has.

[Kev Stephenson]

And don't forget the new workplace pension scheme. Always best to get them to work for you self employed, get them to send you an invoice every month for the work they've done at the price you agree with them. You wont get into the murky world of paye, employment law, pensions, sick pay and holiday pay rights that a paye employee has.

 

Apart from the fact it's against the law and seen as tax evasion if they work full time for you

[northcountryboy]

Apart from the fact it's against the law and seen as tax evasion if they work full time for you

 

That is partly true, however if they provide a UTR number and you offer the shifts to the subcontractor rather than tell them when they are working and let the subby know they are free to work elsewhere this will keep HMRC happy. In my day job we deploy about 100 staff a week using this method and whilst HMRC would like them all to be PAYE they allow it.