Summer Help: A Family Affair? Employing Your Children in Your Business

As the school year draws to a close, many owner-managed businesses face the familiar summer staffing juggle. Perhaps you need extra hands to cover holidays, manage increased seasonal demand, or simply tackle those back-burner projects.

Have you considered a readily available and potentially enthusiastic workforce right under your own roof? Employing your children for summer work could be a win-win situation, offering valuable experience for them and practical help for your business.

However, before you start drafting contracts and assigning tasks, it’s crucial to understand the rules and regulations surrounding employing family members, particularly children.

This blog post will guide you through some key considerations to ensure you’re both providing a great opportunity and staying on the right side of the law. 

The Benefits of Bringing the Kids Onboard

Let’s first look at why employing your children might be a good idea:

• Familiarity and Trust: You know your children’s strengths and weaknesses, and there’s an inherent level of trust and understanding.
• Cost-Effective Help: Depending on their age and the work involved, employing your children can sometimes be more cost-effective than hiring temporary staff.
• Instilling a Work Ethic: Summer jobs provide young people with invaluable experience in responsibility, time management, and the value of earning money.
• Understanding the Family Business: It can give your children a first-hand look into the workings of your business, fostering a sense of connection and potentially inspiring future involvement.
• Flexibility: You can often tailor tasks and hours to fit around their availability and your business needs. 

Navigating the Legal Landscape: Key Considerations

While the benefits are clear, it’s vital to be aware of the legal framework surrounding child employment in the UK. Here are some crucial points to consider:

Minimum School Leaving Age

In England, Scotland, Wales, and Northern Ireland, young people can generally only work part-time from the age of 13. They must still be in full-time education until the end of the school year in which they turn 16.

Permitted Hours of Work

There are strict limits on the number of hours and the times of day children can work. These vary depending on their age and the time of year (school days vs. holidays).

For example, during school holidays, 13 and 14-year-olds can typically work a maximum of 25 hours per week, and 15 and 16-year-olds up to 35 hours per week. It is important to note that children cannot work during school hours. There are also restrictions on working late at night or early in the morning.

Types of Work Allowed

Children are prohibited from doing certain types of work that are deemed dangerous, harmful, or could negatively impact their health, safety, or education. This includes operating heavy machinery, working in factories, or handling hazardous substances.

National Minimum Wage

While there are specific minimum wage rates for young workers, it’s important to understand when these apply to your children. Generally, those under the minimum school leaving age are not entitled to the National Minimum Wage.

However, once they reach the relevant age and are considered workers, they become entitled to the appropriate age-related rate. As of May 2025, the National Minimum Wage rates are subject to change annually in April, so always check the latest government guidelines. For example, the rate for those aged 16-17 is typically lower than for those aged 18-20.

Employment Contracts

Even for family members, it’s good practice to have a basic written agreement outlining the job role, hours, pay (if applicable), and expectations. This helps to avoid misunderstandings and ensures clarity for both parties.

Tax and National Insurance

Depending on how much your child earns, there might be tax implications. In most cases however your child should receive the £12,570 personal allowance. As an employer, you’ll also need to consider National Insurance contributions if their earnings exceed the relevant thresholds.

Insurance

Ensure your employer’s liability insurance covers any young workers you employ, including your children. 

Employing your children for summer work in your UK owner-managed business can be a rewarding experience for everyone involved. It offers practical help for your business, valuable life lessons for your children, and a chance to work together in a new context.

However, it’s paramount to prioritise their well-being and adhere strictly to the UK’s employment laws regarding young workers. By doing your homework and approaching this thoughtfully, you can ensure a productive and positive summer for both your business and your family.

For more information, please get in touch with our team at Rogers Spencer.

Robin Maxwell

Robin Maxwell is a partner of Rogers Spencer and has been working with us since 2003. Robin specialises in Accountancy Solutions, Audits and Tax and VAT. Find out more about Robin here.