As an employer making payments to employees for services they provide as an office-holder in a separate organisation, you have certain tax, National Insurance and reporting obligations.
This includes things like working as a sports club secretary. These payments are known as ‘honoraria’.
What to report and pay
Honoraria count as earnings, so you’ll need to:
- add them to your employee’s other earnings
- deduct and pay PAYE tax and Class 1 National Insurance through payroll
The following guide contains more detailed information: