Paying your Nanny (PAYE)
It is your responsibility as the employer (and not your nanny’s) to ensure their salary is calculated correctly and the relevant deductions for Tax and NI are paid on time to HMRC.
We can fully support you with the payroll process. Please get in touch for further information regarding our payroll service: 0208 1500 017
Non-compliance may result in the Employer incurring substantial penalties and fines.
Paying your nanny
As the employer you are required to provide your nanny with a pay advice every time they are paid. The pay advice must show their Gross Wage, the Tax and NI Deductions, as well as their Net Wage. Your nanny should keep their pay advices in a safe place, as they act as proof of earnings when applying for such things as a loan or a mortgage.
When you subscribe to Absolute Childcare’s nanny payroll service we send you via email, monthly pay advices showing all the correct deductions. Our service will also manage issues such as Maternity Pay, Sick Pay, Holiday Pay & Accruals, Overtime and Bonus payments. Handling both starter & leaving P45’s and the monthly RTI* submissions that must be sent each time the nanny is paid either prior to or on the day the nanny is paid BUT NOT AFTER or penalties will be enforced by the HMRC. As your registered payroll agent we liaise with the HMRC on matters regarding your employers PAYE scheme including hosting HMRC compliance inspections.
It is important to point out that we do not process the payment transactions to the nanny or to HMRC, we purely facilitate the calculations and provide you with the accurate figures and reports to make the payments directly yourselves.
When you employ a nanny it becomes your legal responsibility to provide your nanny with an employment contract or a written statement of the terms within 8 weeks of their commencement date.
A contract of employment is included with all permanent placements through Absolute Childcare.