Employing people - your legal and tax obligations

In our last employing people module we provided you with our five top tips for hiring the right person. 

We will now take you through some of the key legal and tax obligations that you might be required to meet.

Employers' Liability Insurance

Broadly speaking, all employers are required to take out this insurance cover and normally the minimum cover is £5 million.  For further details on this and the exemptions to having such cover visit our ‘Employing People’ group and see the factsheet on EmployersLiability Insurance.


Contracts and Written Statements of Employment            

Once your offer of a job has been accepted a contract is in place between you and the worker. 

Click here for a guide to contracts and statements of employment.

Register as an Employer with HMRC & Set up Payroll                

You need to register with HMRC before you are due to start paying your new worker. 

You can do this here and complete this HMRC e-learning on 'Becoming an Employer'.


Workplace Pension Scheme

Auto-enrolment is a system introduced in 2012 by the Government which places obligations on employers. A new employee must either be automatically enrolled or they can opt in depending on certain eligibility. 

Click here to access The Pensions Regulator's useful 'Duties Checker' tool and then click on 'start here' to begin.

Health and Safety

As an employer, you have a duty to protect your workers from anything that might cause them harm. 
The Health and Safety Executive (HSE) website has full, easy to follow details and guides on Employer's Responsibilities.


Free information on these tips, including downloadable templates, can be accessed by joining the ‘Employing People’ group on Mi Ventures. 

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