New job but cash in hand

pb6672

Being paid "cash in hand" normally means being passed a sum of money, nudge nudge wink wink, let's not tell the taxman about this. This, of course, is illegal.

The fact they have given you a payslip suggests strongly that they are doing everything properly. If they were trying to defraud the taxman they would have to be pretty dumb to hand out documentary evidence of it!

Just because they chose to pay in cash the old fashioned way rather than transferring the money through the banking system does not mean there is anything dodgy going on. In fact, for a small company it is entirely possible that it is cheaper for them to do it this way rather than paying bank charges.

sequence

I wish more companies paid cash, banks are a nightmare, I avoid them like the plague.

oxenryd

I agree with withabix and pb6672, "cash in hand" and being paid cash are 2 different things. If someone said to me cash in hand, it would imply "Let's not tell anyone about our arrangement"

LittleVoice

maggiesoup wrote: »

They haven't asked me for my P45 but I haven't made any money since the start of the new tax year anyway. I'm just wondering if they are using this "cash in hand" thing by way of a trial period. I was thinking of waiting for a month or so and if I feel they are happy with me then asking if they would put me on their books and pay tax but I still don't know if I should actually be paying any tax?

I also asked about a P46. If you don't have a current year P45 (and it sounds as though you don't), then if you complete a P46 (which they should have given you but it can be downloaded, I think) they will be able to get a proper tax code for you.

withabix

olias wrote: »

:rolleyes::rolleyes::rolleyes:

:rotfl:This is what I love about these forums, the rubbish some people spout as truth!

I wouldn't mind, but the fact that you have so many posts to you name may mean some people actually think you are correct and believe you!

Olias

And the number of people who think they know even better is even more amazing. :rotfl::rotfl::rotfl::rotfl:

As I said:

Being paid 'cash in hand' is of course illegal.

If the employer does not have your NI number and you haven't completed any appropriate HMRC forms, you are not being legally employed. You could quite easily be getting paid and claiming inappropriate benefits at the same time because of this.

The employer does not have your Tax Code, so should be deducting tax on your full pay and showing this deduction on your payslip.

withabix

MrsE wrote: »

I must tell my self employed DH that:D

That isn't quite the same thing, as you very well know!!

Your DH does of course rigourously declare all of his cash payments and issue receipts, doesn't he....;)

Valli

and if it's a small, family run business counting out the cash and paying it to the employee(s) is more cost effective than using BACS which, of course, the employer would have to pay for in bank charges.
As has been said there IS a difference between 'cash in hand' and being paid cash. The former is a colloquial term generally taken to mean an 'off the books' or 'black market' transaction. Which is illegal.

andygb

withabix wrote: »

And the number of people who think they know even better is even more amazing. :rotfl::rotfl::rotfl::rotfl:

As I said:

Being paid 'cash in hand' is of course illegal.

If the employer does not have your NI number and you haven't completed any appropriate HMRC forms, you are not being legally employed. You could quite easily be getting paid and claiming inappropriate benefits at the same time because of this.

The employer does not have your Tax Code, so should be deducting tax on your full pay and showing this deduction on your payslip.

If you look carefully at the original post, you will see that there was no mention of "cash in hand", it was simply "pay me cash", and "given a payslip", both of which are totally legal and above board.
It was you who introduced the term "cash in hand", to try to make the pay method seem illegal, which of course it is not.

MrsE_2

withabix wrote: »

That isn't quite the same thing, as you very well know!!

Your DH does of course rigourously declare all of his cash payments and issue receipts, doesn't he....;)

He is all square with the tax office & issues receipts to any customers that want them.

Most passengers don't want them & wouldn't wait for them.

secretspender_2

I get paid cash in hand by my new weekend job - I get taxed 20% on which they deduct straight away, I also get the cash with a payslip