When you have found a nanny that you trust and that your kids love being around, it’s a great feeling. Finding the right fit for your family can be tough at first, but once you’re over that hurdle, you can begin to rely on your nanny taking good care of your family while you’re away. If this means that you ask her to occasionally work more hours during the week or on the weekends, you should know the facts about paying your nanny overtime. Here are some basic 'must-know' facts about nanny overtime.
What types of nannies are entitled to overtime?
Bob King of
says, “Under most circumstances, live-in nannies are exempt from federal overtime. Live-out nannies must be paid overtime of 1.5 times their regular rate of pay for all hours worked above the 40 hours in a week. State laws may require weekly and even daily overtime as well.” If you’re not sure what your state law requires,
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What is the mandated overtime rate?
The federal minimum wage is $7.25 per hour. However, this rate will vary by state, counties and cities, many of them providing
higher minimum wages
. King says, “The required overtime rate under federal law is 1.5 times the [live out] nanny's regular hourly rate of pay, and the regular hourly rate of pay must be at least the minimum wage.”
The importance of including overtime verbiage on employment contracts:
Employment agreements are incredibly important when it comes to working with a nanny. If you’re unsure of what information should go into an employment contract, do your research before you start drafting. And when it comes to including overtime information, make sure to list the regular and overtime rates of pay on a per-hour basis. In addition, make sure that the agreements list when overtime applies under applicable state and federal laws.