How to Compensate a Nanny for Working Overtime

Since nannies work inside the home, there is sometimes confusion about how to properly compensate a nanny for working overtime. Nannies who work more than 40 hours per week should be compensated appropriately. If you are wondering how to compensate your nanny for working overtime, follow these steps.

Instructions

  1. How to Compensate a Nanny for Working Overtime

    • 1

      Keep careful track of your nanny's hours. You'll need to know how many hours your nanny has worked in a 7-day period to calculate her compensation.

    • 2

      According to the Fair Labor Standards Act, if your nanny is a live-out nanny, she must be paid at least minimum wage for the first 40 hours worked. She also must receive overtime pay, equal to time and a half, for any hours worked beyond 40 in a 7-day period.

    • 3

      If your nanny is a live-in nanny, she must be paid at least minimum wage for each hour she works, according to the Fair Labor Standards Act. She is not entitled to receive overtime pay for hours exceeding 40.

    • 4

      If you pay your nanny a standard salary and she works more than 40 hours, you must determine from that salary her hourly wage. If your nanny is a live-out nanny, her hourly wage must translate to at least minimum wage for the first 40 hours and time and a half for anything beyond 40 in a 7-day period. If your nanny is a live-in nanny, her salary must reflect at least minimum wage for every hour that she works in a 7-day period.

    • 5

      Know your state's rules. New York, for example, has a rule that overtime pay kicks in after 44 hours worked per 7-day period.

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