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Employing someone under £120 pw

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    Employing someone under £120 pw

    is anyone able to advise me on the protocol for hiring someone who you pay under £120 a week?
    we have just started receiving direct payments and intend to use a mix of services, part of which is employing someone ourselves so we need to register as an employer etc. But when I went on to hmrc it said it was for people who pay more than £120 a week. We would actually just come uNader this threshold so not sure what we need to do.
    thanks in advance

  • Advertise on Indeed as 'Self-employment', then advise new employee to register with HMRC. Generate invoices for each self-employment yourself. The self-employed may claim reasonable expenses in connection to the employment and may claim a dividend.

    If you register with HMRC as an employer, then you must run payroll, must provide pension and 28 holidays/annum minimum.

    Living wage is 8.72 and in law that is the minimum you must pay.

    Further information on HMRC website.


      Thanks Graham but all of that applies if you pay over £120 a week.


        Hello Rebecca,
        Thank you for your forum post.
        With regards to your query about direct payments. This is an incredibly complex area, and beyond giving guidance about how to go about seeking a direct payment, we would not be able to give more in-depth advice about National Insurance and tax payments etc.

        In the first instance, I would suggest that you seek guidance from either the Disability Rights UK helpline on 0330 9950404, or alternatively you could phone the HMRC helpline on 0300 200 3200, for guidance in relation to your own individual circumstances.

        I do hope this information is helpful.

        Kind regards

        MND Connect
        Contact us on 0808 802 6262 or at [email protected]


          Thank you. I will call the helpline.