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Employing a Nanny
Nanny Responsibilities
In addition to providing nurturing and responsible childcare, our San Diego nannies will perform light housekeeping in child-related areas of the house (child's bedroom, playroom, family room, kitchen). Our nannies do not perform heavy cleaning. Nannies will typically run errands, but will expect to be compensated for gas and/or mileage for these errands. A clear understanding of the nanny's responsibilities are set forth at the time of hire.
Family Responsibilities
Safe and Sound Nannies maintains a policy of placing competent nannies with quality families. A mutually respectful relationship between the family and the nanny is vitally important. We only place nannies who have successfully completed our selection process and have earned our trust. At the same time, we trust and expect that the family will treat the nanny with care and respect. This includes consistently providing the nanny with the hours and pay agreed upon at the time of hire. Our goal is for the family and their nanny to maintain a stable, enduring relationship that is mutually beneficial and rewarding to the children.
Nannies earn between $13 and $17 per hour, depending on the number of children and commute time.
Taxes
In nearly every case, your nanny is considered a Domestic Employee, and you are considered a Household Employer. According to the IRS, if you pay cash wages of $1,400 or more in a year to your nanny, you are required to pay employment taxes on those wages. Take a look at IRS Publication 926 (Household Employer's Tax Guide) -- it explains everything you need to do.
Click on this link to go to the TurboTax Nanny Tax Calculator. Scroll down to "Home & Family" and then choose "The Nanny Tax"-- It provides very clear information about paying the nanny tax and also provides a calculator to determine how much to pay.
As a Household Employer, you also have tax obligations to the State of California Employee Development Department. Follow this link to the Employee Development Department to learn about these obligations.
Many of our families choose to meet their obligations to the IRS and the State of California by using a payroll service to process their nanny's pay. The payroll service will perform all the withholding, issue paychecks, perform direct deposit, remit payments to the IRS and the EDD, file your employment tax returns, and issue the nanny's W2 form. It is certainly easier to go this route, but it does involve a processing fee. We have successfully referred Paychex for this service.
