b'Expenses Mileagetax return on the difference. However, this is Net? G ross? Weekly?not usually that much of a saving for example, Monthly?A common and very genuine expense for aif your nanny drives 10,000 miles and you pay nanny is an amount per mile for each mile she uses her own car for business/work use. You may wish to use the NannyPaye mileage ratea typical 30p per mile she can apply for relief calculator on our website to help negotiate aon 1500.00 saving her around 300.00.fair rate per mile payable to your nanny. You canIts very important that employers ensureagree at a rate of up to 45p per mile for the firstthat they keep exact logs of the miles the 10,000 miles and thereafter up to 25p per milenanny has driven and the amounts paid to (correct at time of print). her. Employers should not round up the If your nanny is not paid by you up to the fullamounts to an estimated amount peramount she can claim tax relief via a personal week/month.Benefits in KindDuring July of each year employers across theThe tax that is paid in addition to thecountry must report to HMRC a taxable valuebenefit comes in two parts:(effectively giving a figure to the perhaps less3 Employers National Insurancetangible benefit) for each benefit that has been paid to each employee. This report is called a3 Income TaxP11D and they can be quite complex and time consuming for both the employer and employee. The process that NannyPaye uses tocalculate the taxable amount of the benefit The key thing to note before we go into detail isin most cases is quite straight forward. For that NannyPaye will organise your benefits whenexample, if you provide 500.00 in free personal you make them known to us. The rest of thisgym membership to your nanny then we would section is to try to explain the process ahead. report a 500.00 taxable benefit. This would then amount to your nanny paying Income Some popular examples of benefits could be: Tax on the amount of 500.00 and you the 3 A car that is used for personal use provided employer payingEmployers National Insurance by the employer on the amount of 500.00.3 Accommodation not within the family home Things get trickier as we start to calculate the 3 Health insurance benefit on items that have a less straightforward 3 Gym membership tangible value or are affected by government incentives such as cars.Benefits in kind are simply items that you provide to your employee that HMRC consider to be a benefit to them and as such should be considered as part of their taxable income.Benefits on carsHMRC have implemented incentives tothe lower the percentage amount used to employer/employee to provide employeescalculate the tax payable.with cars that have a lower less polluting CO2For more information on benefits please emission. This incentive simply means that thecall us and we will be able to give you lower the amount of CO2 the car producesadvice on your specific requirements. 15'