Cash in hand - legal?

cebs

My employer (I work in a fast food) asked for a photocopy of my passport (I'm an EU citizen) and NIN.
I've talked to my other colleagues and they told me they get paid cash in hand weekly. I then mentioned to them that I gave him my NIN and they replied that he needed that to do all the tax/contributions which seems right to me. I didn't ask my employer as I'm still in training and didn't want to be too pushy considering I struggled to get a job.
Is all this legal?

notanewuser

It's fine for you to be paid in cash provided the appropriate tax and NI are deducted and paid by your employer and a payslip provided to you.

cebs

notanewuser wrote: »

It's fine for you to be paid in cash provided the appropriate tax and NI are deducted and paid by your employer and a payslip provided to you.

Perfect, hopefully he does give me one, I haven't signed any contract yet but maybe it's because I'm in training.
One last thing, you mention tax and NI, I thought they were the same thing?
Sorry but I've never worked in the UK before.

notanewuser

cebs wrote: »

Perfect, hopefully he does give me one, I haven't signed any contract yet but maybe it's because I'm in training.
One last thing, you mention tax and NI, I thought they were the same thing?
Sorry but I've never worked in the UK before.

Nope. Both work differently but apply at the same time. £9500ish of your income will be tax free - you'll pay 20% of everything over £9500ish (and if you go over £40k-ish you'll pay 40%).

NI becomes payable when you earn more than £146ish per week and is 12% of gross earnings.

Legally your employer MUST give you a payslip.

Annisele

cebs wrote: »

One last thing, you mention tax and NI, I thought they were the same thing?

You're right, NI is a tax - but we tend to say "tax and NI" and mean income tax and national insurance.

cebs

Thanks to both of you.

Annisele wrote: »

You're right, NI is a tax - but we tend to say "tax and NI" and mean income tax and national insurance.

OK, so for example once I graduate my student loan would result as a tax together with income tax and NI (and perhaps other things)?

Besides those 2 helpful links, where can I read about working, taxes, documents and anything that has to do with them? As previously mentioned I'm not familiar with the system here and don't want to end up doing anything wrong.

maninthestreet

Try the HMRC website:

http://www.hmrc.gov.uk/

mcfisco

'Cash in hand' is usually a term used when someone is being paid 'off the books' without any tax or NI taken and is generally illegal.

But as already said, actually being paid cash with pay slips etc is perfectly fine and above board.

makeyourdaddyproud

All you need now is your money to be paid in a brown envelope with holes in the back to add to your collection in the glove compartment of your Cortina Mk 3

anamenottaken

cebs wrote: »

Perfect, hopefully he does give me one, I haven't signed any contract yet but maybe it's because I'm in training.
One last thing, you mention tax and NI, I thought they were the same thing?
Sorry but I've never worked in the UK before.

You don't have to sign a contract. But your employer does have to give you written particulars of your employment within two months of your starting work. Forget about "in training", it doesn't change things in relation to the right to written particulars. Those will also include information about paid holidays.

anamenottaken

cebs wrote: »

Thanks to both of you.

OK, so for example once I graduate my student loan would result as a tax together with income tax and NI (and perhaps other things)?

Besides those 2 helpful links, where can I read about working, taxes, documents and anything that has to do with them? As previously mentioned I'm not familiar with the system here and don't want to end up doing anything wrong.

Once graduates earn enough, they begin repaying their student loan. It's not a tax.