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Do Builders Labourers Pay Tax In UK?

An interesting read for those that work on a site: Do Builders Labourers Pay Tax In UK?

If you work in the construction industry you are probably asking yourself Do Builders Labourers Pay Tax In UK?

This is a popular question and one I will answer in this post as well as other questions you may have about the industry, Labourer pay and tax.

If you are planning on working as a labourer on a building site you are probably asking yourself what tasks does a labourer need to do?

Labourers are expected to carry about various tasks on a typical day. You will be expected to assist in groundwork, carpentry or bricklaying as well as any necessary paperwork.

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Is Labouring a good job?

Labouring as has already been mentioned above offers a variety of tasks and varied working day which is great if you are somebody that likes to be kept busy or take on new challenges.

If you are just starting on a building site and are low skilled, your Labourer pay may be lower than somebody who has been working for years in the job. However, the more experience you gain the more you get paid.

One of the benefits to being a self employed labourer is that you can choose which person or company you work for. This means that if you don’t like working for a particular company you can switch to another.

Labouring on a building site means you are likely to be exposed to the elements. labouring in the summer time is a great way of getting paid to work on your tan. However, the UK weather is pretty rubbish in the winter time so it is worth being prepared for those conditions.

Do Labourers need qualifications in the UK?

Before you start work as a builders labourer it is worth considering whether you feel you can deal with the daily demands of the job.

Can you deal with working as part of a team, have a desire to learn and are happy to work in both good and bad weather conditions?

If you answered yes to any of the above, the next step is to consider your qualifications.

Education and Training:

While you don’t need any formal qualifications to become a labourer you may be given more work if you consider having some formal education or training.

E.g.

Level 1 Certificate in Construction Skills

Level 2 Certificate in Construction Operations

Groundworker intermediate apprenticeship

A specialised apprenticeship in areas like demolition, scaffolding, carpentry, electricity or plumbing

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How much does a labourer charge a day?

If you are unsure of what to charge for your labouring work or if you are looking to find a labourer but dont know how much to pay them please read on.

Minimum RateHighest RateAverage
Labourer (Hourly Rate)£10£18£14
Labourer (Day Rate)£100£200£150
Labourer Pay Rates from Checkatrade

As can be seen from the table above Labourer daily rate ranges from £100 to £200 per day, but will depend on location, experience, age and length of time required. If you are working in major cities for example London, you can expect to pay in the region of £200.

If however you are looking to take on a labourer for a shorter period of time (i.e. a few hours per day) you can expect to pay between £10 and £18 per hour with an average of £14 per hour.

If you are a labourer, before you take on a job it is worth considering the costs involved, such as travel expenses, food, clothing or safety equipment, This will allow you to decide if the job is worth doing or not.

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It is also mentioning that a labourer with more qualifications can expect to earn more. so it is worth looking into NVQ level qualifications at your college.

How much do builders labourers get paid?

Average Labourer Salary Per Year £18,703

Starting Labourer Salary Per Year £12,000

Highest Labourer Salary Per Year £24,000

As you can see from the list above the average starting salary for a labourer in the uk is £18,703, however this is dependent on location.

The starting salary for a builders labourer is £12,000 aprox and is relatively low if somebody has very little experience, qualifications or responsibility on site. This again will likely be higher if you work in large cities such as London or there is demand for labourers.

Somebody with more experience and qualifications can expect to receive a salary of approximately £24,000 per year. In order to receive this sort of income as a builders labourer you would be expected to have completed NVQ level qualifications and worked on site for a few years.

Is a Builders Labourer self employed?

A majority of Builders labourers are self employed but what does that mean? When you work as self employed labourer this means that you work for yourself. This might be different to how you have worked before such as working for an employer i.e. retail work for Tesco.

When you are a self employed labourer you are not paid in the normal way you would as an employee through PAYE, instead you have to file a tax return each year to HMRC. A tax return is a document which is completed by an accountant.

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A labourers tax return is filled to HMRC and includes information such as how much income you have earned, expenses you are claiming back as well as how much tax you have to pay to the government.

If you have a tax return to file for income you have earned from being a labourer I recommend you speak to UGO TAX for advise and help.

When do Builders Labourers have to complete a Tax Return?

Builders labourer pay has to be declared each year to HMRC when they are self employed, in the form of a tax return.

The tax return covers pay earned between 6th April – 5th April the following year, and has to be filled by January 31st the following year.

Confused….here is an example.

You have to declare to HMRC your self employed labourer pay that was earned between 6th April 2022 – 5th April 2023.

The tax return has to be filled to HMRC by January 31st 2024, and also pay any tax that is due by the same date.

Still not sure? We recommend you contact Ugo Tax Accountants who can answer your questions.

Whats Expenses can a Builders Labourer Claim?

If you are a self employed labourer in the UK by law you must file a tax return each year. It is recommended that you have an accountant file your tax return to ensure you maximise your income and pay any tax which is due. How much tax you pay will depend on how many expenses you claim. Expenses relate to things you purchase which you need to complete your job as a labourer such as safety boots, work trousers or tools.

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Keeping records of these purchases is very important not only to avoid investigation from HMRC but also to ensure you don’t pay to much tax. To make you life a little more easier i have created a list below of just some of expenses you can claim:

Mobile Phone UseInsuranceCleaning Vehicle Servicing
Road Tax Vehicle InsuranceVehicle MOTFuel
Travel Expenses (bus/tube)Accountancy FeeBusiness Bank ChargesComputer Consumables
Accountancy SoftwareHome OfficeStationaryInternet
PostageAdvertising (google Ads)Laundry Protective Clothing (Hats, Boots)
Work WearToolsMaterials (wood, nails, screws etc)
List of Allowable Expenses for Labourer

The list above does not cover all expenses, and i would recommend you contact an acccountant to get further details and support your self employment journey as a labourer.

Do Builders Labourer Pay Tax?

If you are a self employed builders labour you have to pay any tax which is due following completion of a tax return. However as we have already discussed you can claim back expenses you pay for to do your job (see expenses above) to reduce down any tax that might be due. So to answer the question, yes you do have to pay tax on your earnings, but that does depend on how much you earn and what expenses you claim for.

More good news is that you don’t pay tax on the first £12,570 you earn which is called your personal allowance.

I hope you found this post useful about Do Builders Labourers Pay Tax In UK. I will kept it updated regularly to ensure it has the latest information included so dont forget to check back again soon.

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