Hi Tosh1
Just lurking from the carpet cleaning forum.
You'd be better off making her a partner. I take it you are operating as a sole trader. If you employ her you would have to set up a payroll scheme, more bloody paperwork. Although if you pay her less than £90 per week there would be no tax or national insurance to pay.
If you make her a partner and imply that she carries out all the admin work from home you may also claim for office expenses. I.E if you use a spare bedroom as an office, divide your house into rooms and calculate the amount it costs to heat that room etc. This can then be declared as a business expense. One room won't affect your house by making it a commercial premises.
It also means that your taxable profit at the end of the year is divided by 2 with 2 tax allowances, thats provided she doesn't have another income.
Cheers
from a fellow Geordie!