In the United Kingdom, those earning less than £1,000 per year from self-employment or casual work do not need to register for self-assessment or pay whatever tax and NI are due. These individuals will only pay income tax if they earn more than the personal allowance. Those 16 and younger do not need to pay NI, but they still need to register for self-assessment if their earnings exceed the £1,000 threshold. Babysitters should be paid the national living wage if the sitter is over 23 years old or minimum wage if under 23. A contract should be used when hiring a childminder, or individuals who work from their homes to care for children. Things are a bit more complicated for nannies, which require liability insurance and certain benefits, among other requirements.