Website of the UK government

Tax

As an employer you may be responsible for deducting tax and National Insurance from your employee's wages. You will then need to pay them to HM Revenue & Customs together with your employer's National Insurance contribution. Whether you will have to do this depends on how much your employee earns. 

Your local social services department may be able to help you with the paperwork for HM Revenue & Customs.

• Tax when employing people in your home (money, tax and benefits section)

Paying your carer

You must pay your carer at least the National Minimum Wage.

If your carer lives with you, there are special rules for calculating the value of the accommodation you provide. You can count this amount as part of your employee's pay, and it counts towards the National Minimum Wage.

• The National Minimum Wage (employment section)

Working hours, time off, sick pay and holiday pay

As an employee, your carer or personal assistant has an entitlement to:

You can find out more about your responsibilities for providing these things in the 'employment' section of Directgov.

• Working hours and time off (employment section)

• Sick pay rights (employment section)

Liability Insurance

As an employer, you must take out:

Employer's Liability Insurance covers you if your carer has an accident while working for you, in cases where you might be held responsible. 

Public Liability Insurance covers you for any damage or injury you or your carer cause to anyone else while your carer is working for you.

You can sometimes include Employer's Liability Insurance and Public Liability Insurance in a comprehensive household insurance policy.

Your local council must include the cost of Employer's Liability Insurance if you're getting direct payments to pay for your care.

You can find out more about both types of liability insurance on the Business Link website.

• Liability insurance - Business Link website Opens new window

Creating a written statement of employment

If you employ your carer for one month or more you must give them a written statement of the terms and conditions of their employment. You must do this within two months of them starting work for you. The statement must include:

There is an interactive tool available on the Business Link website to help you create a written statement of employment.

• Create a written statement of employment - Business Link website Opens new window

Useful contacts

• Organisations and charities - health