Working for more than one employer

It is increasingly common these days for a nanny to work part time for two or even three employers at the same time. As well as providing variety, such an arrangement is positively beneficial for a nanny and has far more benefits than drawbacks.

If a you have more than one employer, when any one job comes to an end, you will still have some income coming in which will provide a cushion for any period before you can find another job.

If you become sick or have a baby, providing you earn at least £87 per week in each job and provided each employer is operating a proper PAYE scheme and paying tax and National Insurance contributions on your behalf, you will get sick pay and maternity from BOTH employers. This will double the total amount of maternity pay you would receive from a single employer for the last 33 weeks of the maternity pay period from £112.75 per week to £225.50 per week, a difference of at least £3,720.

However, you should realise that there may be potential disadvantages for an employer who takes you on when you already have another job. Because of the way the tax system works, all your tax allowances are usually allocated to your first employer and none are available for the second employer. This means that if you agree a net wage, it will cost the second employer an extra 50% to employ you. Many employers do not realise this and it is a big shock to them when they see how much tax is payable after the first month. We know from experience that this has led to a number of nannies losing their job. PAYE for Nannies can help in such circumstances by arranging to divide your tax allowances between your employments in the same ratio as you divide your working week so each employer only pays a fair share of tax and NI. It is in your own interest to ensure that any second employer realises the potential problem that can arise and takes steps to overcome it at the start of your employment. We are happy to advise employers about how this can be done.