national insurance

General_Grant

And the employer doesn't need to pay EmployeRs NI if she earns less than £169/week.  However they would need to be willing to pay pension contributions.  It sounds as though the employer is trying to avoid running payroll, like administering student grant repayments and other deductions.

kiwiman

She is not getting any of the benefits mentioned which is why I'm guessing she will be classed as self employed. She will definitely not be paying tax on the money she earns but I believe there is no threshold for N I and she will have to pay the lowest rate, presently £3 a week. She is paid directly into her bank account.

General_Grant

kiwiman said:

She is not getting any of the benefits mentioned which is why I'm guessing she will be classed as self employed. She will definitely not be paying tax on the money she earns but I believe there is no threshold for N I and she will have to pay the lowest rate, presently £3 a week. She is paid directly into her bank account.

Not getting the benefit of an employer paying into a pension scheme (or other similar benefits like paid holiday) is not proof of self-employment: it may just show that an employer is not behaving as an employer should and is simply evading their responsibilities.

So she's paid into her bank account but not submitting invoices.  If she is self-employed how is she supposed to claim payment?  What is written down abouit this business relationship?

Savvy_Sue

General_Grant said:

And the employer doesn't need to pay EmployeRs NI if she earns less than £169/week.  However they would need to be willing to pay pension contributions.  It sounds as though the employer is trying to avoid running payroll, like administering student grant repayments and other deductions.

At that rate of pay, they'd only need to pay into a pension if the employee requested it (and I'm not certain of all the details, it's complicated!)

General_Grant

Savvy_Sue said:

General_Grant said:

And the employer doesn't need to pay EmployeRs NI if she earns less than £169/week.  However they would need to be willing to pay pension contributions.  It sounds as though the employer is trying to avoid running payroll, like administering student grant repayments and other deductions.

At that rate of pay, they'd only need to pay into a pension if the employee requested it (and I'm not certain of all the details, it's complicated!)

I believe earnings of £120/week should prompt automatic enrolment and OP's daughter is earning more than that but could herself opt out (and shouldn't be pressurised to do so by the employer).

However, as we don't know what work is actually being done there is no way we can hazard a guess as to whether the person is or is not self-employed.  It certainly seems strange to me that, without issuing invoices, they are receiving payment into a bank account and there appears to be nothing in writing about the contractual relationship.