Salix Payroll Services - Nanny tax, Employers information

<body link="#800080" vlink="#33CCCC" alink="#0000FF"> <p align="center"><b><font color="#6666FF" size="5" face="Arial">Employer's Information</font></b></p> <p align="left"><b><font size="4" color="#6666FF" face="Arial">What we can do to help</font></b></p> <p align="left"><b><font color="#000080" size="3" face="Arial">Contact us, and on receipt of your cheque, we will register you as an employer with the Inland Revenue. We can also arrange it so that all Inland Revenue communications regarding the payroll (eg change of tax code) come to us, so you don't have the bother of forwarding them.</font></b></p> <p align="left"><b><font color="#000080" size="3" face="Arial">Complete our online form to give us the key information regarding your nanny's earnings ( you can also fax or post a copy if you prefer).</font></b></p> <p align="left"><b><font color="#000080" size="3" face="Arial">Send us your cheque, and we will start producing your nanny's payslips with immediate effect.</font></b></p> <p align="left"><b><font color="#6666FF" size="4" face="Arial">What if it's the middle of the tax year?</font></b></p> <p align="left"><b><font color="#000080" size="3" face="Arial">That doesn't matter. We can start doing your nanny's payroll midway through the tax year, as long as you can tell us the gross pay, and tax and NI deducted  to date.</font></b></p> <p align="left"><b><font color="#6666FF" size="4" face="Arial">If your nanny's pay is in a mess</font></b></p> <p align="left"><b><font color="#000080" size="3" face="Arial">We can backdate your fee to the beginning of the mess, sort it out, produce payslips for the previous months, and year end returns (if required) and let you know the outstanding tax and National Insurance due to the Inland Revenue.</font></b></p> <p align="left"><b><font size="4" color="#6666FF" face="Arial">What you will still have to do </font></b></p> <ul> <li> <p align="left"><b><font color="#000080" size="3" face="Arial">Draw a monthly (or weekly) cheque for your nanny's net pay, as notified to you by us. This can also be done by standing order, if your nanny's pay is the same each month.</font></b></li> <li> <p align="left"><b><font color="#000080" size="3" face="Arial">Draw a 3 monthly cheque for tax and National Insurance due to the Inland Revenue, and forward it to them with the Inland Revenue paying-in slip.</font></b></li> <li> <p align="left"><b><font color="#000080" size="3" face="Arial">Notify us by email, fax or post of any changes in salary, overtime etc you have agreed with your nanny</font></b></li> <li> <p align="left"><b><font color="#000080" size="3" face="Arial">At the end of the tax year ( 5th April), if you wish us to prepare a P11D (statement of expenses and benefits paid to the nanny, you must notify us of all expenses and benefits in kind paid to your nanny during the tax year. You must keep records of such payments, including all receipts, where appropriate.</font></b></li> </ul> <p align="left"><b><font size="4" color="#6666FF" face="Arial">Contracting to pay a fixed net amount to your nanny</font></b></p> <p><b><font color="#000080" face="Arial">Despite the prevalence of negotiating  pay net of tax with nannies, we strongly recommend that you calculate the relevant gross pay (we can help you with this) and draw up a contract of employment that specifies this gross figure.</font></b></p> <p><b><font color="#000080" face="Arial">Contracting to pay a net amount can leave you out of pocket  if:</font></b></p> <ul> <li><b><font color="#000080" face="Arial">a previous employer has underpaid tax</font></b></li> <li><b><font color="#000080" face="Arial">your nanny has other income and the Inland Revenue decide to collect tax due on it through the PAYE system</font></b></li> <li><b><font color="#000080" face="Arial">your nanny has more than one job</font></b></li> <li><b><font color="#000080" face="Arial">Your nanny receives any benefits in kind which the Inland Revenue deems are taxable (see mileage allowances)</font></b></li> <li><b><font color="#000080" face="Arial">tax law changes</font></b></li> </ul> <p><b><font color="#6666FF" size="4" face="Arial">Agreeing a weekly or monthly amount</font></b></p> <p><font color="#000080" size="3" face="Arial"><b>It is common to discuss nanny's wages in terms of a weekly amount. Unless your nanny is being paid weekly, you must agree a monthly or annual salary with your nanny. </b></font></p> <p><b><font size="4" color="#6666FF" face="Arial">Mileage Allowances</font></b></p> <p><b><font size="3" color="#000080" face="Arial">Where your nanny is paid a mileage rate to use her/his own car for her/his duties, you are allowed to pay a mileage rate of up to 40p per mile for up to 10,000 business miles per annum and 25p per mile over 10,000 miles without your nanny incurring tax or NI on the payment. If you pay mileage for your nanny's journey from their place of residence to your home (her/his normal place of work) this would always be taxable. It is recommended that you do not do this.</font></b></p> <p><b><font size="4" color="#6666FF" face="Arial">What if I change nannies</font></b></p> <p><b><font size="3" color="#000080" face="Arial">No further fee is required. As long as you only employ one nanny at a time, only one fee is due per annum.</font></b></p> <p align="center"><font color="#000080" size="2" face="Times New Roman"><i>Disclaimer: Salix Payroll Services and its Directors accept no liability for the accuracy of this information</i></font></p> <p align="center" style="line-height: 150%; margin-top: 0; margin-bottom: 0"><b><font color="#996633" size="2">  <a href="../nan_main_frm.htm">Nanny Tax</a>   <a href="../our_svce/svce_nan_frm.htm" target="_top">Our Service</a>    <a target="_top" href="emp_info_frm.htm"> Employers Information</a>    <a href="../nan_info/nan_info_frm.htm" target="_top">Nannies Information</a> </font></b></p> <p align="center" style="line-height: 150%; margin-top: 0; margin-bottom: 0"><b><font color="#996633" size="2"> <a target="_top" href="../nan_tc/terms_conditions.htm">Terms and Conditions</a>   </font></b></p> <p align="center" style="line-height: 150%; margin-top: 0; margin-bottom: 0"><b><font color="#996633" size="2"> <a target="_top" href="../online_reg/Online_reg_frm.htm">Online Registration</a>    <a target="_top" href="../../about_us/about_us_frm.htm">About Us</a>    <a href="../../contact_us/cont_us_frm.htm" target="_top">Contact Us</a>    <a target="_top" href="../../index.html">Home</a></font></b></p> <p> </p> </body>