Handling Nanny Payroll & How To Legally Employ A Nanny
Nannies didn’t die out with Mary Poppins, that’s for sure, as they still provide a highly valuable service to children and parents all over the world. However, with there being such a demand for them these days there can be some difficulty in acquiring one. Employing a Nanny requires ensuring all legal steps have been taken. We have made a list of the most important steps below.
1. Register a Business Number – Those who reside in Western countries must register for a business number before employing a Nanny. Researching all the avenues to make this happen is highly recommended in order to save time, barriers and money.
2. Wage Statement – The Nanny must be provided with a wage statement which details the number of hours which are to be worked, their salary rate and other necessary details in regard to their employment.
3. Nanny Payroll Taxes – Never try to cut out the taxman or he may come a-knocking. All pension plan, employment insurance and other taxable incomes for your Nanny must be provided to your respective tax revenue agency. Make sure they fill out the appropriate forms which have to be mailed out before they are taken into your employ.
4. Records of Employment – Nannies aren’t forever, as children grow older. In the event you have let your Nanny go or they have moved on to another employer make sure you have filled out the necessary ROE forms and mailed them off to your revenue agency.
5. Keep Well-Organized Records – Things happen, so keeping well-organized, up-to-date records of your Nanny’e employment is something that shouldn’t be discluded. The Nanny’s name, date of birth, start and end dates of employment, wage rate, hours worked each day, benefits provided, holidays taken and many other facts should be kept on hand at all times in the event they are called for. In most countries employment records must be kept for a number of years after the employment has ended.
There are other factors that should be researched and carried out in regard to employing a Nanny as well. Stay tuned for more payroll resources.