A live-in nanny is not like a babysitter. Rather than coming and going, she is in your home, caring for your children and living under your roof. Therefore, you must take special care to ensure that the nanny you hire not only suits the needs of your children, but of your household, as well. Since you’re interviewing a person for a job inside your home, you need to be prepared to treat it the same as if you were hiring an assistant in your office.
Before hiring your nanny you should have a set schedule in place. This can include how many days per week she is expected to work and the total number of hours. Write this schedule down in your nanny contract. The Fair Labor Standards Act doesn’t require you to pay overtime if your nanny is scheduled for 40 hours, but it is customary to offer some form of overtime pay if your nanny is asked to work in addition to her regular schedule. You do, however, still have to pay for any hours worked. Set what days your nanny is expected to work. Typically, a nanny works five days per week with two days off. The two days do not have to be consecutive, but the days should be specified in the contract so that there is no confusion.
Your nanny must have living quarters that are separate from your children. If your nanny shares living quarters with your children, then her sleep hours can be considered “working hours.” While it is not required, offering your nanny a private bathroom can be a welcome incentive.
Deducting Room and Board
You can deduct the cost of room and board for your live-in nanny from her wages as long as the room and board benefits the nanny – not yourself. You can only deduct the fair market value from wages if you opt to do so. Costs that can be deducted include food, laundry, the cost of renting the room, cost of asset depreciation and utilities. If, however, having a live-in nanny benefits you, such as enabling you to travel, then you are not eligible for such a deduction.
During the interview process, you should have a clear list of responsibilities for your nanny. Specify what time your live-in nanny’s shift begins and ends. Common responsibilities for live-in nannies can include preparing children for school, driving children to school and appointments, feeding children meals, setting rules and disciplining children based on your household rules, arranging play dates and assisting children with homework.
While your nanny is there to perform light housekeeping duties, such as cleaning up after the children or folding laundry, she is there primarily to care for your children. Hire a housekeeper for any additional housework you want done.
You have the option to pay your nanny a salary or an hourly wage. You are required to pay your nanny the minimum wage or higher. If paying salary, your salary amount must still meet the minimum hourly wage requirements set by the U.S. Department of Labor. Consider offering her a raise at the end of the year or a bonus based on performance. Some households offer nannies retirement options, such as a 401(K) and health insurance as incentives to work for them.
- NannyNetwork.com: Nannies and the Fair Labor Standards Act
- First Class Care: Advice for the First Time Live-in Nanny!
- NannyNetwork.com: Guidelines For Employing A Live-In Nanny
- Nannies4Hire.com: Live-In Nanny Jobs
- U.S. Department of Labor: Crediting of Facilities and Special Minimum Wage (SMW) Issues Under FLSA Section 14(c)
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