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TaxRobin
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We use the service of different home childcare individuals

Resolved Question:

We use the service of different home childcare individuals (in the UK) on an ad-hoc basis. We saw online few articles saying that nannies cannot be self-employed, but in our case, we don't have a home childcare on a full-time basis, just ad-hoc/sporadic and we use different nannies.
1. Do we need to provide them with a work contract and be their employers or can home childcare/nannies/babysitters be self-employed?
2. Is there any thresholds (hours, periodicity, spend) associated for a self-employed vs. an employee for this specific service/industry?
3. If our child is at our friends home under their care or the care of a chilcarer (we share the nannies costs), what legal&tax obligations do we have? do we need to have an insurance?
Submitted: 10 months ago.
Category: Tax
Expert:  TaxRobin replied 10 months ago.

Hello and thank you for allowing me to assist you.

Expert:  TaxRobin replied 10 months ago.

If the nanny works in a series of temporary positions, or works for three or more families at the same time (in which case she/he would have to register with Ofsted as a childminder). So in your situation this would be self employed.

It is dependent on the use of the services. If this is a scheduled and ongoing relationship then the nanny is an employee.

The nanny or care giver should contact HMRC directly for approval. HRMC will assess each situation individually.

Customer: replied 10 months ago.
but if we require a childminder instead of a nannie, could we schedule an ongoing service at our home, not be obliged to employee the childminder?Also, back to question 3, if our child is at our friends home under their care or the care of a chilcarer/childminder or nannies (we share the costs), what legal&tax obligations do we have? do we need to have an insurance?
Expert:  TaxRobin replied 10 months ago.

If you are sharing a cost at a friend's home then this care giver is not your employee. They are offering their services to more than one person.

If the childminder offers their services to others and you are merely on their schedule then they are not your employee. They should have contacted HMRC to register for self employment. Scheduling a service with a person does not make them (by itself) your employee.

Customer: replied 10 months ago.
Ok so we only need to share the service costs if they are self-employed. If the childminder (as self-employed) provides the service at our home and is also watching for our friends kids( we share half half the cost), is there any legal obligation from us if something happens to our friends kids? e.g. accident. Do we need to have a specific insurance?
Expert:  TaxRobin replied 10 months ago.

Legal issues about accidents are outside the scope of tax advice.

Generally it is always advised to cover your responsibility for injuries that could occur on your property. Speak to your home insurance provider to see if you are covered for accidents in your home.

A positive 5 star rating is appreciated so I get credit for the response.

Customer: replied 10 months ago.
sure, could you please point me to the links/docs/sources with this legislation? so we always have this reference in case something happens.
Expert:  TaxRobin replied 10 months ago.

https://www.gov.uk/government/collections/employed-or-self-employed

There is no one statement that dictates the interpretation.

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