CalvinHobbes Posted January 25, 2023 Share Posted January 25, 2023 Our builder who is looking for a mortgage doesn't have a few years self employment books - he is back working after an injury where he was off for 2 years and the bank staff member told him to ask us to employ him (presumably ft). I will be in with accountant tomorrow but I detest banks, even if I gave him a contract he would need to have been on it for a year. Has anyone else been asked similar? Again I hate banks. Link to comment Share on other sites More sharing options...
Mr Punter Posted January 25, 2023 Share Posted January 25, 2023 Not something I would do. You may open up all sorts of potential liabilities. 1 Link to comment Share on other sites More sharing options...
ToughButterCup Posted January 25, 2023 Share Posted January 25, 2023 Employing him directly ? Return from injury ..... Burning finger-tips ...... Not even a phased return? Unless there is a compelling reason perhaps? 1 Link to comment Share on other sites More sharing options...
Kelvin Posted January 25, 2023 Share Posted January 25, 2023 Don’t do it 1 Link to comment Share on other sites More sharing options...
PeterW Posted January 25, 2023 Share Posted January 25, 2023 Would have to be a fixed term contract but I think you would then end up with issues on EErs NI etc plus you would be liable for holiday and sick pay etc. Also not sure the bank are correct as they wouldn’t count an FTC as anything more than a 12 month income 1 Link to comment Share on other sites More sharing options...
Jilly Posted January 25, 2023 Share Posted January 25, 2023 Can’t he just show them the contract you have for the build? 1 Link to comment Share on other sites More sharing options...
nod Posted January 25, 2023 Share Posted January 25, 2023 For it to be of any benefit to him You would have to employ him on PAYE Which would involve setting up a pension for him Or opting him out which will cost you about £500 Then there’s the tax implications for you Tell him he’s a cheeky bugger 1 Link to comment Share on other sites More sharing options...
andyscotland Posted January 26, 2023 Share Posted January 26, 2023 As per all the above plus you would also need employer's liability insurance. I can't see it being a viable option. Banks infuriate me too. I still remember in about year 3 of my current business they wouldn't lend on my income (which had been stable & growing & we had long term contracts in place). Worse, they wanted to reduce my wife's income - which was lower than mine - as I was classed as a "dependent" along with the kids. I only just managed to persuade the underwriter that if the business went under we wouldn't need childcare till I got another job, so in either scenario we could at least have her full wage. Worse still, a couple of months earlier my only employee got a loan offer based on 3 payslips from me and not a single question about the age/financial security of the employer - our underwriter agreed that was ridiculous given the employee would go first if we hit any trouble, but "it's just the rules, I'm afraid". 😡 1 Link to comment Share on other sites More sharing options...
CalvinHobbes Posted January 28, 2023 Author Share Posted January 28, 2023 I was in signing off my own self employed books and ran it by accountant. It was a big no. Hence todays announcement of him getting a new career. Tbf he was struggling with a medical isssue too. Probably best for everyone concerned, he doubted he would be able to finish the build. Link to comment Share on other sites More sharing options...
andyscotland Posted January 29, 2023 Share Posted January 29, 2023 Frustrating but as you say probably for the best, better to happen at this stage than halfway through. Link to comment Share on other sites More sharing options...
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