<img height="1" width="1" style="display:none" src="https://www.facebook.com/tr?id=1903855569843826&amp;ev=PageView&amp;noscript=1">

What Benefits Should I Offer My Nanny?

Posted by HomeWork Solutions on 6/1/21 10:00 AM
Find me on:

Are you considering hiring a nanny? As a household employer, paying your nanny a fair wage is essential. While you may not be required to offer paid vacation, health insurance, paid sick time, or retirement savings plans, offering some benefits is important. Benefits can help you attract and retain the best nannies in the industry. In addition, it helps your nanny avoid exhaustion or burnout. So, while you are considering your nanny's employment details, make sure you think seriously about what it takes to provide a good benefits package. 

 Negotiate Nanny Pay Benefits

What should you include? 


Paid Time Off (PTO): The average paid time off is 5 to 15 days. You can determine how much time is appropriate for your family and their specific needs. You can also designate if the paid time can carry over from year, or if it resets each calendar year or upon the employment anniversary. For example, if you offer ten days a year but the nanny rolls those over into another year, you would potentially be looking at 20 days without a nanny. This prolonged period would require you to find alternate coverage, and could be difficult.


Mileage Reimbursement: If your nanny uses their vehicle to run errands for you or transports your children to various activities or school, consider reimbursing her mileage. The IRS sets the allowable rate for non-taxable mileage reimbursement each year.


Health Insurance: Employers often pay at least half of health insurance costs, and depending on the situation, sometimes provide coverage in full as soon as the first year of employment. 


Paid Holidays: New Years', Christmas, Memorial Day, Independence Day, Thanksgiving, and Labor Day are some of the most common paid holidays. 


Our team at HomeWork Solutions encourages each household employer to set aside time to establish a written work agreement before your employee begins work. The document should outline each part of your employee's wages, payment schedule, and benefits. Both of you should go over it in detail and sign it so there is no confusion later down the road. 


We can help simplify this process for you, too! Our payroll service assists household employers like you in calculating payroll and taxes, in addition to paid time off accumulation. We will help maintain all the records and ensure you, and your employee has proper documentation filed with the IRS, so there are no hidden tax surprises. Contact us today for information on getting started

Topics: nanny employment practices, nanny, nanny payroll tax, nanny health insurance, nanny benefits, household payroll

Real Human Beings Are Standing By

Complete the form below and one of our payroll experts will reach out to you ASAP. You may also call 1-877-899-3004 to speak with our team immediately.

Subscribe to Email Updates

Recent Posts

Posts by Topic

see all