You’ve hired a fantastic nanny, housekeeper, or caregiver — but now it’s time to navigate pay stubs. It’s more than just a piece of paper. A pay stub is your proof of legal compliance, your employee’s proof of income, and one of the most important parts of managing household payroll.
But don’t worry — creating a compliant, professional pay stub doesn’t have to be a headache. We’ll walk you through:
- What a pay stub is
- Why it’s essential for household employees and employers
- What information needs to be included
- How HomeWork Solutions can make it all stress-free
What Is a Pay Stub?
A pay stub is a document that provides a detailed summary of an employee's earnings and deductions for a specific pay period. It shows gross wages, taxes withheld, and net pay, among other details. Most states legally require employers to provide an itemized pay stub each payday.
For household employers, pay stubs aren’t just a formality — they’re a vital part of staying compliant with laws and maintaining transparency with your employee.
Why Are Pay Stubs Important?
A pay stub serves two critical purposes:
- For the Employee:
- Proof of Income: Essential for loan applications, rental agreements, and other financial transactions.
- Accuracy and Transparency: It allows employees to see exactly how their pay is calculated.
- Financial Tracking: Helps them manage their personal budgets.
- For the Employer:
- Legal Compliance: 39 states require itemized pay stubs by law. Not following this could lead to wage theft claims or costly fines.
- Clear Documentation: In case of a payroll dispute, the pay stub serves as a clear record of payments, hours worked, and deductions.
- Payroll Compliance: Documents you’re following IRS and state tax regulations, especially when it comes to Social Security, Medicare, and unemployment taxes.
What Should Be Included on a Pay Stub?
States vary in their wage laws, but generally a pay stub must be itemized and include specific details. Key categories include:
Payment Information:
- Date of Payment: When wages were paid.
- Pay Period Dates: The range of dates the payment covers (e.g., June 1 – June 15).
Earnings Information:
- Gross Wages: Total wages before deductions.
- Net Wages: The amount the employee takes home after all taxes and deductions.
- Hours Worked: Total hours worked in the pay period.
Deductions and Additions:
- Deductions: A breakdown of taxes (federal, state, and local) and any other withholdings (e.g., retirement contributions).
- Additions to Wages and Payments: If applicable, this might include bonuses or reimbursements.
If this sounds overwhelming, you’re not alone. Many household employers struggle to figure out how to properly calculate deductions and report wages. That’s where HomeWork Solutions can help.
How HomeWork Solutions Can Help You with Pay Stubs
Payroll compliance can feel like a full-time job, but it doesn’t have to be. HomeWork Solutions offers two simple solutions to stay on track:
Complete Payroll Service (We Handle Everything For You)
- Full-Service Support: We calculate wages, issue pay stubs, direct deposit pay, and file household employment taxes for you.
- Guaranteed Compliance: Every pay stub we issue meets wage requirements.
- Effortless Simplicity: You handle hiring and managing your employee — we take care of the payroll and taxes.
This is our most popular option for busy families who want peace of mind.
Essential Payroll Service (DIY, But With Support)
- Do-It-Yourself Payroll: You calculate wages and deductions using your HomeWork Solutions’ employer dashboard. Then pay your employee directly and provide a paystub.
- Guidance and Resources: We help you stay compliant with tax laws and calculate the withholdings but you handle the pay stub creation.
- Room to Upgrade: If paying your employee directly each pay period starts to feel like something you would like to scratch off your to-do list, you can upgrade to Complete Payroll anytime.
The Risks of Skipping Pay Stubs or Getting Them Wrong
If you’re thinking, "Do I really need a pay stub every time?" — the answer is YES.
Forgetting to issue pay stubs or leaving out key details could lead to hefty fines or wage theft claims. In some states, missing information on a pay stub can result in penalties per pay period. If you’re audited, a lack of proper wage documentation could also raise red flags with the IRS or state labor boards.
Quick Tip: 39 states require itemized pay stubs by law. Even in states without these requirements, it’s best practice to provide one. This small step can protect you from legal issues down the line.
Frequently Asked Questions About Pay Stubs for Household Employees
Q: What is required on a pay stub for a nanny or housekeeper?
A: At a minimum, a household employee’s pay stub should include the payment date, pay period, gross wages, hours worked, net wages, and a breakdown of deductions like taxes and benefits contributions.
Q: Do I have to provide a pay stub if I only employ one person?
A: Yes, even if you only employ one person, you must follow state laws regarding pay stubs. Most states require itemized pay stubs for even a single employee.
Q: What happens if I don’t provide pay stubs?
A: You could face wage theft claims or fines from state labor boards. In some states, each missing pay stub can result in a separate fine, so it’s best to stay compliant from the start.
Make Pay Stubs Simple with HomeWork Solutions
Pay stubs are more than just a piece of paper — they’re a vital tool for financial transparency, employee trust, and legal compliance. But here’s the good news: You don’t have to figure it out on your own.
HomeWork Solutions offers expert support to keep your household payroll compliant and stress-free. Whether you prefer to DIY with guidance (Essential Payroll) or want someone else to handle it all (Complete Payroll), we’ve got you covered.
Don’t wait — ensure every pay stub is stress-free and fully compliant. Contact us now to see how simple payroll can be.