Many household employers agree with their caregiver - whether this be a nanny, senior caregiver or other - on a set wage per week for a certain number of regular hours. This is common, and fine, yet a household employer who fails to translate this weekly wage into an hourly rate can open themselves up to costly wage and hour disputes. This is the last thing you want to be involved in, as wage and hour lawsuits are expensive. President Obama's initiative to protect workers from unpaid overtime means the US Department of Labor is adding 300 more investigators, and household employers will be even more at risk for getting caught.
Here are some of the most common mistakes nanny caregiver employers make that that put them at risk to wage and hour claims:
- Giving comp-time instead of overtime pay
- Paying straight time even for hours over 40
- Not understanding complicated California overtime laws
- Calculating overtime biweekly rather than weekly - overtime is due based on a 7 day work week
- Treating a nanny or senior caregiver as a salaried employee
- Failing to keep records of time worked and paying a set wage
Household payroll is complicated and we are here to help. We offer free telephone consultations and are happy to chat with household employers regarding their nanny or senior caregiver's payroll. We also offer state-specific tip sheets to help you understand overtime rules where you live!
Call HomeWork Solutions today at 800-626-4829 or click here to schedule a free telephone consultation.