Working for less than minimum wage and paying no tax etc is this legal

I started a job recently have to work a month in advance before wages come at end of Month . Is it legal or illegal not to pay taxes and no insurance get paid cash in hand, so it seems. Not asked for insurance number as yet . ive been told maybe classed as casual worker. But told Employer should do it automatically. This seems odd and illegal to me. I didn't asked to be put in this situation, How do I stand. It seems every one gets paid cash in Hand I may be wrong. But seems extremely wrong to me. Anyone know if this often happens in Malta.
I am rather worried .

In your line of work or similar jobs unfortunately is very common. You have 3 options really...Stay, say nothing, collect your pay, which is illegal (and you will not be able to claim residency under employment.) Leave and report them. Leave and say nothing. I guess there may be one more option of declaring that you are self employed with the ETC and paying your own NI and tax...Maybe someone else can advise on that?

Hi there again . Thanks for your advice and helpful information. I just don't believe it. Is this Welcome to Malta. Cant believe the pay is so low either.
Should of known as I was so shocked with £3Euros 85 an hour. I was actually over joyed to give my cv out 1 day and get a phone call the next to start work. Things we get into hey. I just don't believe it. You know I don't believe in doing things illegal. Its not me. But what options do I have for now. Think I will have to put my thinking cap on or continue till end of year. So thanks again for taking the time to reply back.

While working for less than the minimum wage would have no legal consequences for an employee almost anywhere in the world, it certainly would for the employer. There are stiff fines and other sanctions in most countries for this kind of exploitation.

Not paying taxes depends on how much you earn and if there is a basic personal exemption which you must earn greater than this amount before you actually incur taxes.

Really for you the only major concern would be your visa status. You must have a visa that permits paid work so you can't legally work or study in almost every country in the world if you only have a Tourist Visa for example.

Cheers,
William James Woodward, EB Experts Team

wjwoodward wrote:

While working for less than the minimum wage would have no legal consequences for an employee almost anywhere in the world, it certainly would for the employer. There are stiff fines and other sanctions in most countries for this kind of exploitation.

Not paying taxes depends on how much you earn and if there is a basic personal exemption which you must earn greater than this amount before you actually incur taxes.

Really for you the only major concern would be your visa status. You must have a visa that permits paid work so you can't legally work or study in almost every country in the world if you only have a Tourist Visa for example.

Cheers,
William James Woodward, EB Experts Team


As she is a eu national, she does not require a visa to work. however, she must register for residency by 3 months of stay and to do that, she needs to be working, legally or be self sufficient, which she is not.
You are correct in saying that she will probably not pay tax as she won't, she will be below the threshold.
Malta has a serious problem with working off the books and she will find it hard to find a job which is legit in her line of work.
She is in a catch 22 situation :(

Hi Pollyanna,

I'm really surprised that you are surprised about your situation !

If you had read the relevant posts on the forum you wouzld have been warned . What do you expect?

You have no residency and probably no health insurance and are working for a low pay. But you have nothing to prove it.

It will be hard for you to find a better paying, legal job in Malta as you are competing with Eastern European's for the lowest salaries.

To be working legally in Malta you have to be resident and have health insurance. Whether you pay taxes depends on your income but you have to pay National Insurance if you work.

I don't really have a solution for your situation. Folks like you keep Malta running !

Cheers
Ricky

hello to u all who have recently messaged me on my situation . I am grateful to u all for messaging me . I will take it all on board. well got to start thinking what happens next. How much would I have to earn per month to pay taxes and insurance. just so as I know what is what in the earnings margin.
Thanks again

you dont have to pay tax - but you can and do need to register and get a NI number that is is your obligation  - everyione who lives here whether working or not is required to register and get a ni/ssc number.

as for taxes etc there are thresholds that need to be exceeded before you incur taxes.... ssc contribution depend on your declared wages

go legit  and get legal and healthcare how you do it is your choice.

Did you read this?!?! https://www.expat.com/forum/viewtopic.php?id=370643
About residency and Tax?

toonarmy9752 wrote:

you dont have to pay tax - but you can and do need to register and get a NI number that is is your obligation  - everyione who lives here whether working or not is required to register and get a ni/ssc number.


Does that apply to those of retirement age who are 'self sufficient' and not here to work or seek work, because I have not seen anything that says that. We have registered in the tax system and filled in tax returns?

I have not seen anything that decrees that one, if self sufficient, needs to register for a NI number. Our hospital/file ID was created when we first attended. Tax - yes.

Hi Ricky, I have been working nearly a month so will see what my first month pay is like . I am fairly new on here didn't come on this site till May this year and by the last week in June I just decided to come over see my Daughter and see what happens . Didn't look into too much . All I ever wanted was to find a job and then find a flat / apartment. Not having much Luck here as yet in either departments by the look of things. Getting very disheartened. I am an honest hard working citizen. Just wonder what life is all about really. Just 1 predicament after another. English citizens here have a hard time. I keep ringing up for an apartment and I feel as soon as they know its an English lady they say no haven't got any left. No  No sorry they have all gone. I am always polite on the phone and I get No everytime.
How does anyone get an apartment these days in MALTA. ?????????????????????

Hi Pollyanna,

it is difficult to answer your question about finding an appartment as I don't know your requirements and budget.  In the summer many landlords prefer to go for short-lets and much higher rents. It is easier to find something appropriate in the Autumn.

Other criteria can also apply. In my own case we got the appartment against other applicants because we are a couple and not that young !

Job wise it is really either highly qualified work ( IT,finances etc) and decent pay  or otherwise you compete with other foreigners on who is willing to accept the lowest pay and worst conditions. Tourist jobs (bars,hotels and so on) will finish in October and this season is a bad one anyway possibly due to the bad weather and massive influx of English language students.

Don't give up !

Cheers
Ricky

Hi I have been to the job centre a month ago and I cannot get a national insurance number till I get a contract. It has recently changed. Even though I have found a job they didn't ask me for a national insurance number. I queried it a few days after thinking it was strange but the manager said he would speak to me in a month which will soon be up. I also asked about a contract and he said he could give me one but I didn't need a contract. So my month is nearly up so I will go and find out what situation I am in. Don't like being in the dark but think its shut up and be quiet or maybe loose my job. But I will find out in the next week as I want to say well now I have a contract go to the social security department and let them deal with it. I don't want to be dishonest not in my nature. So I will get it sorted once and for all.

get him to fill in a form of engagement , it will cover you in terms of getting a national insurance number, and can be used for residency purposes,

if not say you do need a contract so that you can apply for residency

Thank you

Pollyanna##321 wrote:

I keep ringing up for an apartment and I feel as soon as they know its an English lady they say no haven't got any left. No  No sorry they have all gone. I am always polite on the phone and I get No everytime.
How does anyone get an apartment these days in MALTA. ?????????????????????


If anything the opposite is true - landlords often prefer renting to foreigners than locals

georgeingozo wrote:
Pollyanna##321 wrote:

I keep ringing up for an apartment and I feel as soon as they know its an English lady they say no haven't got any left. No  No sorry they have all gone. I am always polite on the phone and I get No everytime.
How does anyone get an apartment these days in MALTA. ?????????????????????


If anything the opposite is true - landlords often prefer renting to foreigners than locals


we found the same, then we rang at 8 am this one property we saw and went to visit and were prepared to pay there and then and so we got it .
You have to get in pretty early and make a decision pretty much straight away

Pollyanna##321 wrote:

I keep ringing up for an apartment and I feel as soon as they know its an English lady they say no haven't got any left. No  No sorry they have all gone. I am always polite on the phone and I get No everytime.
How does anyone get an apartment these days in MALTA. ?????????????????????


That is because most of those advertised have been gone for some time. Look at it as 'ground bait', they advertise those not available to get you hooked. I will PM you with details of a very reliable person.