Self-employed personal assistant
Hiring a self-employed personal assistant requires careful checks to ensure His Majesty's Revenue and Customs (HMRC) compliance and protect yourself from liability.
If you fail to verify their status, you could be held responsible for tax and National Insurance.
Checks you must do
Do these checks annually to ensure all checks are up to date.
- Ask for their HMRC registration as self-employed.
- Request their Unique Taxpayer Reference (UTR).
- Ensure they issue invoices for services.
- Ask for proof of public liability insurance - ideally with a minimum cover of £2 million.
- This protects both parties in case of injury or damage during work that occurs whilst a self-employed Personal Assistant is carrying out their work-related duties with you.
- Confirm they have the legal right to work in the UK.
- Request a DBS check; this is a legal requirement if the personal assistant will be working directly with those under 18 years, or indirectly.
- Draft a contract or service agreement outlining duties, hours, pay, and cancellation terms.
- Keep copies of invoices, insurance certificates, and correspondence.
- Maintain a log of payments made.
What happens if you do not do these checks
- HMRC may reclassify the personal assistant as your employee if they believe that the working relationship resembles employment.
- If reclassified, you could be liable for unpaid tax and National Insurance contributions, plus penalties.
- You may also be responsible for:
- Holiday pay.
- Pension contributions.
- Employer's liability insurance.
- Employment rights compliance.
How to stay protected
- Use HMRC's Check employment status for tax tool to assess the personal assistant's status.
- Keep all documentation up to date and accessible.
Summary checklist
| Requirement | What to check for |
|---|---|
| HMRC compliance | Unique Taxpayer Reference (UTR), invoices, multiple clients. |
| Liability insurance | Public liability cover (£2M recommended). |
| Legal right to work | Passport, visa or work permit. |
| DBS check | Enhanced check if working with vulnerable people. |
| Written agreement | Duties, pay, hours, cancellation policy. |
| Record keeping | Invoices, insurance, correspondence. |
Contingency planning
If a self-employed PA is off work, you will need to ensure you have care in place whilst they are not in work. This may be an unpaid carer, another self-employed PA, or care provider. You need to remember that your funding will not change for this period; therefore, the care you choose must continue to fall in line with your personal budget and continue to meet your care and support needs identified in your care and support plan.
Council's fixed rate vs actual cost
Councils set a fixed hourly or daily rate for personal assistants. If your chosen self-employed personal assistant charges more than this rate, you can still use it, but:
- You will need to cover the difference between the local authority rates, and the rate you have agreed to pay (also known as a top-up).
- The self-employed personal assistant must be appropriate for your assessed care needs.
For example: If Kirklees Council's rate is £15 per hour and your preferred self-employed personal assistant charges £20 per hour, you would be responsible for ensuring the additional £5 per hour top-up is placed into your direct payment account.
Policy and guidance
We've updated our direct payments policy and guidance - this will be introduced as user agreements are updated from Summer 2026.