Pls help re: renewal of Domestic Worker Visa and declaring in HMRC for her NI

[Lois_Lane]

Hello,

My nanny came here this end of March 2012. Her visa is expiring on Feb 2013. We need to renew it early next year.

We pay her £500/month which according to HMRC rules, she doesn't need to pay for national insurance or tax. But that we need to declare her to be our domestic worker and how much we are paying her. I am confused as to the steps for this and the forms...

Could you please help me.

In the financial requirement, my husband is self employed and I am not working right now. But we have savings in our bank account in UK as well as in Philippines and US. How much do we need in our bank account to prove we can pay her. What's the requirement?

Do we need letters send to her in our home address to prove she lived with us?

Thank you so much for your help. :-)

[Terpe]

To be honest, the twists and turns of Domestic Worker visa's these days is a real minefield.
There's been lots of changes this year.
You're very lucky that you got the Domestic Worker Visa before the introduction of the new rules, and remain eligible for extension applications.

Domestic worker visa's issued on or after 6 April 2012 are no longer able to remain in UK beyond 6 months.

With these changes in mind I feel that at some point you may need the advise of a professional even if it's just for a checking service to be sure you've made a correct and valid application.

May I suggest a contact to Kalayaan who specialise in immigration issues for migrant domestic workers.
They are registered with the OISC (Office of the Immigration Services Commissioner) and offer free advice on domestic worker issues.

Here's their webpage. just follow the links for contact details.

Your Nanny must be in the UK to apply and that application must be made at least 28 days before current visa expiry.

It seems to me based on what you've said that your nanny could qualify for an extension of stay as a domestic worker for 12 months.

This application would be made on form FLR(O) can be found here

Please take particular note of section 8D and of Note 6 which requires significant input from you on Employment Contract and wages.

Just for your background understanding on Domestic Worker Visa's please take some time to read the Immigration Rules here under 159EA and 159EB

Hope this helps you in terms of visa extension.

[Terpe]

On the question of HMRC requirements and inputs you should read this webpage
and also this one.

If you haven't already done so I would suggest you contact HMRC (Employers Helpline) to find out if you need to register as an employer and if you need to have a PAYE Employer Scheme set up in your name with your nanny as the employee.
If so there will be a small amount of work involved with this, but as there is likely to be minimal tax or NI deductions it should be an easy input from your side which can be done online.

It looks like you're already paying wages above the National Insurance lower earnings limit, so a PAYE scheme may well be needed.
It's been quite some time since I've been involved in this so it's better to talk with HMRC.

[Lois_Lane]

Thank you so much Terpe for your advice. We are grateful for your help. I will do as you have suggested. We are fortunate to have our nanny here. We applied for domestic worker visa in July 2011 and got denied. We hired a barrister and appealed. We won the case in December 2011 and they granted her the visa in Feb 20, 2012. So we are indeed blessed to have her here. We prayed for it and God has been so good to us to answer our prayers more than our expectations. :-)

I just contacted HMRC. They advised me the steps we need to make. :-)

Godbless you Terpe. We have such high respect for you. :-)

[Lois_Lane]

I just contacted Kalayaan and they told me that I basically just need to submit an application form for the extension of her domestic worker visa with her payslips, employment contract, a letter stating we want to continue employing her, our bank statements, her passport and copies of me and my husband's passports. :-)

[Terpe]

I just contacted Kalayaan and they told me that I basically just need to submit an application form for the extension of her domestic worker visa with her payslips, employment contract, a letter stating we want to continue employing her, our bank statements, her passport and copies of me and my husband's passports. :-)

Did they also agree that FLR(O) would be the best form?
I believe if you use this form you she will be granted 12 months in line with immigration rule 159EB.
Just curious and trying to get the best opportunity for you.


Did HMRC say you need an Employer Scheme ?

It would be great if you could share the outcome with us all here.
That way we can be sure of the advice to suggest to others.

Well done.

[Stevi]

Hi Lois _lane,
I am a filipina and on a spouse visa living at Richmond Kew. Our helper will be applying her private domestic visa this coming November, i have so much confusion on how we would pay her tax. Although yuo have mentioned that yuo are exempted on paying her taxes, wondering how we can do that.
Hoping big to hear from you,
Vilma

[Stevi]

Hello Sir Terpe,
We are applying for our helper to come here in U.K but regarding the taxes that needs to be paid drives me nuts i heard there are some agency that can do this or accountants who will do this on your behalf what exactly are they called? Can yuo
Pls pls recommend one?
Sincere thanx,
Vilma

[Terpe]

Hello Sir Terpe,
We are applying for our helper to come here in U.K but regarding the taxes that needs to be paid drives me nuts i heard there are some agency that can do this or accountants who will do this on your behalf what exactly are they called? Can yuo
Pls pls recommend one?
Sincere thanx,
Vilma

Being an employer does require some understanding of the regulations.
As a first step you should follow the links already posted in #3

For simple cases such as yours you normally don't need any accountant.
There are quite few specialist organisations that can operate the HMRC PAYE systems on your behalf. They will handle all the payslips and even make any payments to HMRC on your behalf, or tell you exactly how much to pay to HMRC and when. Any payments of tax and NI can be made on a quarterly basis for these types of cases.

I can't recommend for you but if you do a google search for 'payroll services household' you'll find some specialist agencies if you don't feel able to operate yourself.
Don't forget you'll be paying these agencies

[Lois_Lane]

Kalayaan didn't tell me the form. I checked on site and is convinced it's the FLR(O) form that we need. Thanks for that. :-)

HMRC said i should register as an employee. I did and so, now just awaiting the activation code online to declare my employee/nanny. :-) They asked me to fill in the Quarterly no payment due (for those who pay their nanny between £107 to £144 per week has no payment due for tax and NI) page and submit. It was pretty easy. They helped me through the process. :-)

[Lois_Lane]

Hello Vilma,

Paying tax or NI or being exempt depends on how much you pay your domestic worker. We pay her £500 per month which is £125 per week. If you are paying her below £144 per week, you are exempt to pay tax or NI contributions. However, if you are paying her more than £107 but less than £144 per week, you need to inform HMRC that you are employing a domestic worker and how much you are paying her. You need to submit a form for no quarterly payment due in HMRC site too. This way she has benefits. If you are paying her more than £144 per week, i believe you need to pay tax/NI. Please check this link and see which is applied to you:

http://www.hmrc.gov.uk/paye/intro/do...-employees.htm

Hi Lois _lane,
I am a filipina and on a spouse visa living at Richmond Kew. Our helper will be applying her private domestic visa this coming November, i have so much confusion on how we would pay her tax. Although yuo have mentioned that yuo are exempted on paying her taxes, wondering how we can do that.
Hoping big to hear from you,
Vilma

[Stevi]

Louis_lane,

Thank yuo very much for your reply under the u.k law a private domestic helper should be paid 6.08 per hour correct me please if i am wrong. Just the same i am not familiar with the payee the best is to hire an accountant to do the tax payment the problem i have no idea where to find one. You were very heplful thanx kabayan...

I just contacted Kalayaan and they told me that I basically just need to submit an application form for the extension of her domestic worker visa with her payslips, employment contract, a letter stating we want to continue employing her, our bank statements, her passport and copies of me and my husband's passports. :-)

[Terpe]

Louis_lane,

Thank yuo very much for your reply under the u.k law a private domestic helper should be paid 6.08 per hour correct me please if i am wrong. Just the same i am not familiar with the payee the best is to hire an accountant to do the tax payment the problem i have no idea where to find one. You were very heplful thanx kabayan...

With effect from October 1st 2012 the current National Minimum wage is £6.19 per hour

There are regulations concerning whether or not the NMW applies to certain domestic workers or not.
It's not so straightforward.

[Lois_Lane]

Hello Vilma,

Under the UK law, the private household worker as far as I know does not have to be paid the lowest minimum wage if he/she is living with you in your own house and not paying any bills or food or anything. If she is full time working for you. If she lives somewhere else than your home, i believe you need to pay her at least the minimum wage. Our country also has a rule right now that domestic workers abroad should be paid more than $400 a month but those in POEA who signs the exit clearance as well as the Philippine Embassy London advised us to pay at least £500 pounds a month and not lower so that we get approved by POEA in our country and so on... This is what i know and what i experienced.

As far as i know now, if you employ a domestic worker after April 2012, they are only allowed here if approved, a maximum of 6 months stay. It has changed this year.

Fortunately for us. We got our nanny's visa and she arrived here before April 2012. She arrived here on 27th March 2012. So, our nanny can renew her visa every year.

Anyways, is the nanny you are employing from the Philippines? I assumed this. Or are you hiring an au pair? Or a nanny in the UK already?

Godbless.

Louis_lane,

Thank yuo very much for your reply under the u.k law a private domestic helper should be paid 6.08 per hour correct me please if i am wrong. Just the same i am not familiar with the payee the best is to hire an accountant to do the tax payment the problem i have no idea where to find one. You were very heplful thanx kabayan...

[Terpe]

[Stevi]

Sorry for my very late reply. Our nanny has worked with us in Manila for almost 3 yeaes she applied her private Domestic helper visa just last Nove 13, and according to UKBA MANILA it would take 3 weeks. Unfortunately she can't renew her visa if she gets here,

[Stevi]

Thank very much to all the members, really great help thanx sir Terpe

[Stevi]

Hi Louis,
Our helper has worked with us in manila from 2009 till we left philippines of April 2012 we submited all proper documents to prove she worked with us that long kaso deny...
May i ask how much you paid
your barister? I think it was unfair that they claim that she only worked with us last oct 2012 when we got all supporting documents that she woked with us or almost 3 years

I will be grateful if you could kindly give me the contact number of your barister we have spent a lot just to get her a visa hope to hear from you

Sincerely,
Vilma

Ps: how much pala did you paid her? I am living here in kew Surrey by the way

[Lois_Lane]

Hello Vilma,

Sorry for the late reply. We paid the barrister £1750 to represent us and fight for our appeal to get our nanny a domestic worker visa. Unfortunately, even if you win an appeal, you may only have your nanny here in UK for a maximum of 6months according to the new rules. So you have to make a choice coz it involves big amount of money.

We pay our nanny £500 per month.

Do you have a child or children with you here? Is that the reason why you need a nanny or helper? You may seek other alternative like having an au pair if you want.

I hope you and your family are well. God bless.

<3 Lani

Hi Louis,
Our helper has worked with us in manila from 2009 till we left philippines of April 2012 we submited all proper documents to prove she worked with us that long kaso deny...
May i ask how much you paid
your barister? I think it was unfair that they claim that she only worked with us last oct 2012 when we got all supporting documents that she woked with us or almost 3 years

I will be grateful if you could kindly give me the contact number of your barister we have spent a lot just to get her a visa hope to hear from you

Sincerely,
Vilma

Ps: how much pala did you paid her? I am living here in kew Surrey by the way

[Stevi]

Your absolutely correct cheaper to hire here and not worth if 6 months lang sya pwede stay £1,750's

A lot of money!

[Lois_Lane]

Hello Terpe and others who can help me.

As i have indicated here, my nanny came here before 6 Apr 2012.

We are about to renew her visa. It says there that I'll have to submit an updated statement of terms and conditions of employment. And that her salary complies with the National Minimum Wage if we sign the document. As far as I know in the old rules, if the domestic worker is living in our house/same accomodation, her salary doesn't need to comply to National Minimum Wage. As far as I know, we can't be denied on that reason. Could you please confirm this?

Thank you.

[Terpe]

You may need to secure some professional advice on the question of NMW

As I mentioned before the 'twists and turns' of immigration rules that are somewhat vague need special attention.

What I can say is that, unless your Nanny is subject to exemptions she must be paid at least the NMW.

If your Nanny is not an actual family but does live in your home then basically she will not qualify for NMW provided she is treated as a member of the family. Now that must also include sharing in the tasks and the leisure activities of the family, and having meals and accommodation provided free, just as if they were a member of the family.

On the other hand, if it's a more formal employer/employee relationship and the above conditions do not apply then she would certainlyl be entitled to the NMW.

I suspect that she is treated as a member of the family, but I do suggest you get some basic professional advice just to be 100% sure.
Don't forget that her Terms & Conditions of employment must clearly reflect that.

Why not give another call to Kalayaan ??

But it looks as though you'll be OK

[Lois_Lane]

Thanks so much Terpe. According to my research of policies and laws here in the UK, we are exempted from paying our nanny NMW. She is living with us and is treated as a member of our family. :-) Yes she is sharing in tasks and leisure activities of our family. She has meals and accommodation provided for free. :-) I will call Kalayaan and seek their advice. :-)

Thanks so much again. :-)

[Terpe]

Thanks so much Terpe. According to my research of policies and laws here in the UK, we are exempted from paying our nanny NMW. She is living with us and is treated as a member of our family. :-) Yes she is sharing in tasks and leisure activities of our family. She has meals and accommodation provided for free. :-) I will call Kalayaan and seek their advice. :-)

Thanks so much again. :-)

That sounds just fine.
Looks like plain sailing.

Please let us know what Kalayaan have to say