How do I calculate fair pay for cleaner/gardener?

Misslayed

I have a splendid ‘household management executive’ (cleaner), who has been with me for over 25 years. I pay her 52 weeks a year so she gets full pay when sick or on holiday. I’m just nervous that I’m not paying her a fair amount to cover her tax and NI. Can anyone with a better brain than mine give me a way of working it out? We currently pay her £52 for 3 hours.

AdrianMessenger

She may be in a very low tax, or no tax position- depending on hours elsewhere; NI for S/E is a different issue. In this case, £52/3h sounds reasonable, given those additional benefits.

I initially thought this question to be all AI, as…

How to calculate fair pay for cleaner/gardener?

...is a statement, not a question, therefore no question mark needed; those annoying AI overviews on searches now do this. Is AI already taking over our syntax, and our brains?!

Misslayed

Fair point! I’d hate to be mistaken for AI so I’ve edited my title!

I believe she works a full week more or less, although she’s very discreet about her other clients.

Savvy_Sue

If she's self-employed, it's her problem not yours: you pay her what she charges.

My gardener charges £20 ph. But if they're sick or on holiday she doesn't expect me to pay.

How long would you keep paying if, for example, she was unable to work because of a longer term illness or injury? It seems a very unusual arrangement.

TELLIT01

£17 per hour for self employed seems low, but if that's all they are asking I wouldn't offer more.

By way of comparison, my brother-in-law is self employed doing general maintenance and is now charging £25 per hour. He has more job requests than he can handle.

Undervalued

https://forums.moneysavingexpert.com/discussion/comment/82057031#Comment_82057031

I would agree. It depends quite a bit on location. Expensive / prosperous areas will tend to command higher rates. Also, unless you pay for travelling time, some very rural areas will cost more unless you are lucky and find somebody good that happens to be local to you.

Misslayed

I was really hoping for a formula to work out how much she gets after tax and NI are deducted. After 25 years loyalty, including support above and beyond during the long illness and subsequent death of my first husband, I need to make sure she’s getting what she deserves. Prompted by new gardener asking for £25/hour!

Misslayed

How long would you keep paying if, for example, she was unable to work because of a longer term illness or injury? It seems a very unusual arrangement.

I suppose it might be a very unusual arrangement, but how many folk have had the same cleaner for more than 25 years? She’s had two new hips in recent years, I didn’t stop paying her either time. I rang her once at 03.00 in tears with a crisis, she was there in her slippers in 20 minutes.

Savvy_Sue

https://forums.moneysavingexpert.com/discussion/comment/82057508#Comment_82057508

I'm not sure there is such a formula, because it depends on her total income, about which you have no idea. And it also depends on whether anything else affects her tax code.

But when I wanted to work out my net pay roughly, I'd lop 25% off my gross.

And when I was self-employed I'd put 1/3 aside.

How long have you been paying this? How did what you were paying compare to NMW when that was introduced? That may give you an answer.

FWIW I pay my gardener £20 ph but I know she charges new customers more.

gwynlas

We are currently paying £37 to new company for holiday let changeover which is a charge for 2 hours though job is easily completed in 1h so £52 sounds reasonable for 3 especially as self employed..

We have always been told 2 hours is minimum and charges have steadily risen over past four years.

Our gardener on the other hand charges abour £350 per day but this includes hedge cutting and disposal of all waste

Undervalued

https://forums.moneysavingexpert.com/discussion/comment/82058577#Comment_82058577

Remember, anybody coming to do a small amount of work (e.g 1 hr) has the same amount of travelling and admin (making arrangements etc) as somebody coming for longer. So a minimum charge or a higher hourly rate for the first hour is not unreasonable.