Earnings Limit?

kebabuk

Hi,

Wondering if anyone can help. I run a small business and have recently started employing my son one day a week. Can anyone tell me what the limit is he can earn before he has to declare his earnings to HMRC? He is not on any benefits.

Thanks

Willow

poppy12345

Is he still in full time education? If so then there's no limit.

NineDeuce

Something like £10,400 at the moment

kebabuk

Hi,

Thanks for the replies.

No he is not in full/part time education.

Guest101

I believe (and stand to be corrected) you need to also offer a pension scheme.

antrobus

kebabuk wrote: »

Hi,

Wondering if anyone can help. I run a small business and have recently started employing my son one day a week. Can anyone tell me what the limit is he can earn before he has to declare his earnings to HMRC? He is not on any benefits.

Thanks

Willow

Wrong question.:)

You are now an employer. You need to register with HMRC, and start operating PAYE. It is your responsibility to declare his earnings to HMRC.

https://www.gov.uk/register-employer

Mersey_2

Yes I agree. Young people working - especially this time of year - will probably end up on emergency tax codes, so paying too much tax. But in your son's case he shouldn't be liable to pay any income tax in April (given his personal allowance) and so should request a rebate from HMRC. He can do those over the 'phone or online by completing a form.

p00hsticks

poppy12345 wrote: »

Is he still in full time education? If so then there's no limit.

I'm not sure exactly what you mean here, but as far as I'm aware his educational position has no bearing on his tax status. As antrobus says, it's up to his employer to ensure that the correct amount of tax and NI is deducted from his wages and that he is offered the chance to enrol in a pension scheme if appropriate.

Guest101

p00hsticks wrote: »

I'm not sure exactly what you mean here, but as far as I'm aware his educational position has no bearing on his tax status. As antrobus says, it's up to his employer to ensure that the correct amount of tax and NI is deducted from his wages and that he is offered the chance to enrol in a pension scheme if appropriate.

I think people get confused with Council tax - as students don't pay any

poppy12345

p00hsticks wrote: »

I'm not sure exactly what you mean here, but as far as I'm aware his educational position has no bearing on his tax status. As antrobus says, it's up to his employer to ensure that the correct amount of tax and NI is deducted from his wages and that he is offered the chance to enrol in a pension scheme if appropriate.

I read the question wrong, sorry my mistake.

TheGardener

Well Mum/ Dad - the really critical point here is if he's not claiming a benefit and isn't earning enough - how is he getting his NI credits?
Missed years now will cost him when they start counting his contributions for his eligibility for any benefit or a state pension...