Employing a nanny

Once you have made a decision on your choice of nanny you need to inform the agency who will then guide you through the process of setting everything up.  We recommend that all clients and candidates work with a contract of employment.  Most nannies that have been working for a while, will already have a contract that they work with, however if they don’t please ask for a sample one to be sent through from the Agency.  There are some legal formalities that you need to be aware of when employing someone and we have highlighted them below.  In addition to this you will need to agree a start date, hours of work, salary, sick leave procedures and holiday time.

Hours of Work

When employed in a private household, it may be difficult to strictly define hours of work and free time. Most nannies have 2 free days per week and work for 5 days per week, from Monday to Friday.

As of April 2009 nannies are entitled to a minimum of 5.6 weeks paid annual leave (28 days for someone working five days a week) bank and public holidays can be included in your minimum entitlement.

Tax and National Insurance

As an employer you are required to deduct tax and National Insurance from a nanny’s salary. Failure to do this could make you liable for arrears of tax and will lead to your nanny being unable to claim benefits or realise his or her state pension in years to come. Inland Revenue Enquiry Officials provide special simplified documentation for employers of nannies. For further inquiries regarding tax and national insurance, you can ring the Employer’s Helpline on 0845 226 2203.  NannyTax also provides a good source of information (nannytax link here)

Insurance

As an employer you should ensure that you have Employer’s and Public Liability insurance cover. If the nanny is to have the use of a car you should ensure that it is appropriately insured.

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