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[quote=Anonymous][quote=Anonymous]There's actually a real, legal answer to this. At least, there is as to what to pay the nanny - how to divide the overtime costs between the families is up to you.

If you don't have an explicit one child rate, you have to pay overtime on the full two child rate.

If you have an explicit one child rate, you have to pay overtime on the blended average. The blended average is the average hourly rate before overtime.  So, for example, if you use 40 hours at a 2 child rate of $20/hr and 10 hours at a 1 child rate of $10/hr (rates picked for easy math) - you paid a basel of $900 for a total of 50 hours. That is a blended average rate of $18/hr. The nanny is owed 10 hours of overtime on this rate, or, and additional $90.

Note that the law doesn't care which hours are overage or not. If you go over 40 hours with one kid, your OT rate will actually be much close to the two child rate.

[/quote]

Nope, blended rates are illegal.

If you have 1 and 2 child rates, you use whichever is applicable for OT.  If not, you pay OT on the normal rate.

So, given that you said $18 for 1 child, $24 for 2 ($12 per family), this is how it works for Family A 40 hours, Family B same 40 hours + overtime:

Family A: rate*hours=pay   $12*40=$480
Family B: share rate*share hours+OT premium*single rate*single hours=pay   $12*40+1.5*$18*10=$480+15*$18=$480+$270=$750
Nanny: 2 child rate*share hours+OT premium*single rate*single hours=pay   $24*40+1.5*$18*10=$960+$270=$1,230

Yes, Family B is paying just over half again for just those last ten hours.  However, that's what happens when there's a 1 child rate; it's much better to pay $270 for those hours than $360!  This is also why most shares have identical hours, that way the families feel like they're not paying as much for what they need.[/quote]

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