Our top tips for taking on your first employee

If you are thinking about taking on your first employee there are some things you need to do

• Calculate how much it will cost you - you must pay your employee at least the minimum wage.  NEVER offer a net salary, ALWAYS offer a gross salary as that is what it will cost you plus 13.8% employers NI.
• Ensure the new employee can legally work in the UK
• Arrange employers liability insurance
• Provide your employee with a written statement of employment
• Register as an employer with HMRC before the first payment to your employee is due
• Calculate your employee's net pay ensuring you deduct the correct amount of tax and NI from their pay and taking account of any previous earnings during the tax year
• Ensure you pay the tax and national insurance deductions you have taken from the employee to HMRC together with your employer's national insurance contributions by the due date