Casual wages threshold

[MrJuice]

I was speaking to my accountant about employing my niece for some admin work for my small ltd company.

I'd be paying her about £20/h and she'd be doing about 5-6h a week.

He said I could pay her casual wages. Don't need to inform HMRC

But I cannot see what the threshold is for when we do need to inform HMRC.

[Rufus Stone]

Do you have a PAYE registration?

[Badda]

Why don’t/didn’t you ask your accountant.

[MrJuice]

I have someone starting work for me in a month or two at 12k salary for part time work. But no paye registration at the moment

My accountant is away for a week or so and his minions usually pass themselves types of queries to him

[Forester1965]

If you're going to have to register anyway, why not do it now?

Also don't forget pensions when you take on a new employee.

[bennno]

MrJuice said:

I was speaking to my accountant about employing my niece for some admin work for my small ltd company.

I'd be paying her about £20/h and she'd be doing about 5-6h a week.

He said I could pay her casual wages. Don't need to inform HMRC

But I cannot see what the threshold is for when we do need to inform HMRC.

Depends is she has any other work - if so you do.

[Countdown]

MrJuice said:

I was speaking to my accountant about employing my niece for some admin work for my small ltd company.

I'd be paying her about £20/h and she'd be doing about 5-6h a week.

He said I could pay her casual wages. Don't need to inform HMRC

But I cannot see what the threshold is for when we do need to inform HMRC.

I’m pretty sure they DO need to be on your payroll (which means HMRC would automatically get informed). Effectively it sounds like a zero hours contract.

[MrJuice]

She's 16 and does not have any other income

[MaxFromage]

MrJuice said:

She's 16 and does not have any other income

Then as long as she doesn't earn above £123 in any week, you don't need to register for payroll.

[Eric Mc]

Be aware that the threshold you need to be most aware of is the National Insurance threshold rather than the tax threshold.

[MrJuice]

noted all

thank you maxfromage for the answer I was looking for.