Tax and National Insurance Payments
As well as paying the net pay to the nanny each payday, you will need to keep aside the tax and NI contributions ready to pay to HMRC.
These are detailed on each payslip so if you were to add the three elements (PAYE Tax, Employees NI and Employers NI) together and put them aside that will be exactly what we ask you to pay to HMRC. We collect these from you in what we call a Tax Bill (but it does include the NI payments as well).
Most of our clients pay these to HMRC every quarter, however, if your tax bill is over £1500 per month you will have to pay this every month.
Quarterly Tax Bills
At the end of March, June, September and December we will send you a Quarterly Tax Bill this will show:
- Breakdown of all payslips within the quarter.
- Total amount due to HMRC.
- HMRC Sort Code.
- HMRC account number.
- Reference to use when making the payment to HMRC.
- Date by which the payment must be cleared with HMRC.
There may also be other adjustments on the tax bill for things such as student loans, employer's allowance, under or over payments from previous quarters or too much or too little SMP funding from HMRC amongst other things.
These are due to be paid to HMRC by the 22nd of the following month (22nd April, 22nd July, 22nd October and 22nd January).
We will also send you another email a day or two before the payment deadline to remind you that if you have not yet made the payment then you should do so now.