NP here. It is defensible not to count paid leave hours towards the 40-hour threshold for overtime. The point of the OT premium is to force employers to accord greater value to hours worked over the presumptive workweek of 40 hours. Here, at least as I understand it, the nanny did not actually work more than 40 hours for this family. If that's the case, then she is not entitled to the OT rate for hours over 40 for this family. She may be entitled to OT from the other family, if she actually worked more than 40 hours for them. |
I don't think that is the case, based on the OP's clarification. But to hopefully further clarify, and not additionally confuse, that's not technically legally correct. Share parents are technically joint employers, and the nanny is owed OT whether she works 40 hours for both, either, or even just in total even if she doesn't work more than fourty for either one individually. When you have these differential rates, the OT is based on a blended rate. The average weekly rate should be calculated based on straight time, then multiplied by 1.5 to give a blended OT rate. THe nanny is then legally owed the differential for every hour she worked, in total, over 40. This is important because even if its only the other family, using a single family rate, that bumps the nanny into OT, the actual OT she's owed is more than just 1.5 the single family rate. |
I am interested in better understanding this comment but am a tad lost. So, if share rate is $20 and nanny works 40 hours for the share then 2 additional hours for one family, how is the overtime calculated? At $15 per hour totaling $30? Or, $45 per hour totaling $90? The second scenario makes sense theoretically, but I have never seen that done... Anyone else? Please ket me know if I misunderstood your post! |
Ok, so I just found a break down on HWS's website. Eye-opening.... http://www.info.4nannytaxes.com/blog-0/bid/72560/Calculating-Nanny-Overtime |
PP here. Sorry, it is confusing, and I may not be the best at explaining. I think the link is pretty good. The key point missing from your question is the one child rate. In the absense of an explicit one child rate, I think the nanny would have a very good case that her rate is $20/hour regardless of who is present and that her OT rate is simply $30/hr. So, in this case she would make $860. However, just to have a number to use in an example, let's assume the contract explicitly states a one child rate of $15/hr. In this case, the nanny is owed $800 for her regular work week. She is owed an additional $30 for her two extra hours of one child work. She is also owed 2 hours of overtime pay. In order to calculate this, you can't just multiply her one child rate by 1.5. In other words, those two hours are not "special." She is owed OT on her entire work week. So, first you calculate a weighted average rate based on her straight time rate. In this case, she is making $830 for 42 hours of time. So her average straight time rate is $19.76. Her OT rate is 1.5 X the weighted average rate, or $29.64. So, for the entire week, she is owed ($19.76 X40) + (29.64 X2), or 849.68. How you split that between the families is now your headache, as there is no legal standard! i |