Anonymous
Post 01/30/2015 10:08     Subject: Confused by salary discussions--do these rates include benefits, taxes, etc?

Anonymous wrote:I'm just starting to wrap my head around the fact that I will need to hire a nanny in the coming months. I'm looking at discussions on salaries and wonder when people say they pay their nanny $X per hour, is that inclusive of all the extra stuff I'm going to have to pay? Like taxes, health insurance, etc? How much extra do I tack on for that? If anyone would like to tell me the range of what I can expect to pay out of pocket for a full-time live-out nanny for 6-month old twins in Arlington, I'd be more even more grateful. TIA!


OP, salary discussions assume a gross rate that you are paying. The nanny will pay her own income taxes out of that. You will have to pay employer taxes ON TOP of the gross rate. Health insurance is up to you. Overtime you will have to pay for all hours above 40 hr/week, BUT, as long as you guarantee a set amount of hours every week and you and your nanny come to an agreement for her weekly pay for these hours, there are ways to set the regular and overtime rates to meet that agreement (as long as your hours do not change).
Anonymous
Post 01/30/2015 09:08     Subject: Re:Confused by salary discussions--do these rates include benefits, taxes, etc?

Anonymous wrote:
Anonymous wrote:
Anonymous wrote:
Anonymous wrote:
Anonymous wrote:
Anonymous wrote:Yikes so I need to pay time and a half for anything over 40 hours?


Absolutely.

40 hour at $20 is 41,600 a year before your share of taxes
Health insurance $150 a month is 1800, you don't need to tax it
Yearly bonus 1 week $800, legally has to be taxed

Plus gas reimbursement, petty cash, classes for the childern; let's say comes to 2k for the year

You're looking at 46k before taxes. So I'd say easily around 50k after you get tax breaks/credits.

Add another 15k if you want 50 hours a week.

So somewhere between 50-60k a year



Bull shit in all of the above, most people don't pay time and a half. And always offer on Gross because you don't know what deductions the nanny can take.

Most nannies make 32-38k, this website is full of it.


I've always been paid OT rate for OT hours. If you don't, you open yourself up to a potential lawsuit down the line. Employees almost always win these cases as the law is very straight forward.


Any person who sues their employer for this is a complete ass and should be black listed.


Someone who expects the pay they are entitled to under the law is an ass? My dear, your barometer is quite off.


most people work more than 40 hours a week and don't sue their employers
Anonymous
Post 01/30/2015 08:52     Subject: Re:Confused by salary discussions--do these rates include benefits, taxes, etc?

Anonymous wrote:
Anonymous wrote:
Anonymous wrote:
Anonymous wrote:
Anonymous wrote:Yikes so I need to pay time and a half for anything over 40 hours?


Absolutely.

40 hour at $20 is 41,600 a year before your share of taxes
Health insurance $150 a month is 1800, you don't need to tax it
Yearly bonus 1 week $800, legally has to be taxed

Plus gas reimbursement, petty cash, classes for the childern; let's say comes to 2k for the year

You're looking at 46k before taxes. So I'd say easily around 50k after you get tax breaks/credits.

Add another 15k if you want 50 hours a week.

So somewhere between 50-60k a year



Bull shit in all of the above, most people don't pay time and a half. And always offer on Gross because you don't know what deductions the nanny can take.

Most nannies make 32-38k, this website is full of it.


I've always been paid OT rate for OT hours. If you don't, you open yourself up to a potential lawsuit down the line. Employees almost always win these cases as the law is very straight forward.


Any person who sues their employer for this is a complete ass and should be black listed.


Someone who expects the pay they are entitled to under the law is an ass? My dear, your barometer is quite off.
Anonymous
Post 01/30/2015 08:48     Subject: Re:Confused by salary discussions--do these rates include benefits, taxes, etc?

Anonymous wrote:
Anonymous wrote:
Anonymous wrote:
Anonymous wrote:Yikes so I need to pay time and a half for anything over 40 hours?


Absolutely.

40 hour at $20 is 41,600 a year before your share of taxes
Health insurance $150 a month is 1800, you don't need to tax it
Yearly bonus 1 week $800, legally has to be taxed

Plus gas reimbursement, petty cash, classes for the childern; let's say comes to 2k for the year

You're looking at 46k before taxes. So I'd say easily around 50k after you get tax breaks/credits.

Add another 15k if you want 50 hours a week.

So somewhere between 50-60k a year



Bull shit in all of the above, most people don't pay time and a half. And always offer on Gross because you don't know what deductions the nanny can take.

Most nannies make 32-38k, this website is full of it.


I've always been paid OT rate for OT hours. If you don't, you open yourself up to a potential lawsuit down the line. Employees almost always win these cases as the law is very straight forward.


Any person who sues their employer for this is a complete ass and should be black listed.
Anonymous
Post 01/30/2015 02:39     Subject: Re:Confused by salary discussions--do these rates include benefits, taxes, etc?

Anonymous wrote:
Anonymous wrote:
Anonymous wrote:Yikes so I need to pay time and a half for anything over 40 hours?


Absolutely.

40 hour at $20 is 41,600 a year before your share of taxes
Health insurance $150 a month is 1800, you don't need to tax it
Yearly bonus 1 week $800, legally has to be taxed

Plus gas reimbursement, petty cash, classes for the childern; let's say comes to 2k for the year

You're looking at 46k before taxes. So I'd say easily around 50k after you get tax breaks/credits.

Add another 15k if you want 50 hours a week.

So somewhere between 50-60k a year



Bull shit in all of the above, most people don't pay time and a half. And always offer on Gross because you don't know what deductions the nanny can take.

Most nannies make 32-38k, this website is full of it.


I've always been paid OT rate for OT hours. If you don't, you open yourself up to a potential lawsuit down the line. Employees almost always win these cases as the law is very straight forward.
Anonymous
Post 01/30/2015 01:45     Subject: Confused by salary discussions--do these rates include benefits, taxes, etc?

12-15 an hour (gross) without any benefits except for 1 week PTO and 1 week vacation during family's vacation is normal and average.
Anonymous
Post 01/30/2015 01:45     Subject: Re:Confused by salary discussions--do these rates include benefits, taxes, etc?

Anonymous wrote:
Anonymous wrote:Yikes so I need to pay time and a half for anything over 40 hours?


Absolutely.

40 hour at $20 is 41,600 a year before your share of taxes
Health insurance $150 a month is 1800, you don't need to tax it
Yearly bonus 1 week $800, legally has to be taxed

Plus gas reimbursement, petty cash, classes for the childern; let's say comes to 2k for the year

You're looking at 46k before taxes. So I'd say easily around 50k after you get tax breaks/credits.

Add another 15k if you want 50 hours a week.

So somewhere between 50-60k a year


Bull shit in all of the above, most people don't pay time and a half. And always offer on Gross because you don't know what deductions the nanny can take.

Most nannies make 32-38k, this website is full of it.
Anonymous
Post 01/30/2015 00:22     Subject: Re:Confused by salary discussions--do these rates include benefits, taxes, etc?

Anonymous wrote:Yikes so I need to pay time and a half for anything over 40 hours?


Absolutely.

40 hour at $20 is 41,600 a year before your share of taxes
Health insurance $150 a month is 1800, you don't need to tax it
Yearly bonus 1 week $800, legally has to be taxed

Plus gas reimbursement, petty cash, classes for the childern; let's say comes to 2k for the year

You're looking at 46k before taxes. So I'd say easily around 50k after you get tax breaks/credits.

Add another 15k if you want 50 hours a week.

So somewhere between 50-60k a year
Anonymous
Post 01/30/2015 00:14     Subject: Re:Confused by salary discussions--do these rates include benefits, taxes, etc?

Anonymous wrote:Yikes so I need to pay time and a half for anything over 40 hours?


if your agreement is above board, yes. The way our arrangement works, we pay a set amount for a set of guaranteed hours each week. Baked into that is the idea that we're paying at a certain hourly rate that then is 1.5x for the OT hours. Any additional hours beyond the set hours would be added manually (I say it this way since we use Breedlove) and at the calculated 1.5x rate. FWIW, we NEVER have hours beyond those contracted, and make arrangements for other babysitters when those types of arrangements are needed, just because of how things have evolved with our dear nanny. We also don't reduce the hours because we got home early or nanny arrived late for some reason.

Anonymous
Post 01/29/2015 23:59     Subject: Re:Confused by salary discussions--do these rates include benefits, taxes, etc?

Yikes so I need to pay time and a half for anything over 40 hours?
Anonymous
Post 01/29/2015 23:34     Subject: Confused by salary discussions--do these rates include benefits, taxes, etc?

the trick for me figuring out how to translate a weekly "salary" (which is easier for me to figure out in our budget) into an hourly rate that nannies seem to use was to do the algebra for a 50 hour week with OT --- i.e. 40x+1.5x(10)=weekly amount....or (weekly amount)/55=Gross Hourly....

if you're a numbers person, that may help you figure this out. We include a transportation amount in that amount, and then also add in a holiday bonus and average that into the hourly. All of this is spelled out in the agreement.

vacation/sick/paid holidays are listed separately, and we don't calculate that into the rate because we assume a 52 week schedule of 50 hour weeks, rather than tracking hours and paying retrospectively. It works out more like a salary that way.
Anonymous
Post 01/29/2015 20:49     Subject: Confused by salary discussions--do these rates include benefits, taxes, etc?

I'm on my phone so can't do much atm, but if you google "nanny paycheck calculator" breedlove has a few caluculators that will help you figure out what your total cost will be.

For twins you should base it off of about $18-20/hr.


Some employers give a health insurance stipend, which is pretty awesome.

And remember that guaranteed hours are a standard nanny benefit, so you calculate for 52 weeks a year.
Anonymous
Post 01/29/2015 19:35     Subject: Confused by salary discussions--do these rates include benefits, taxes, etc?

How do you know you can afford to hire a decent nanny? Perhaps start there and crunch some numbers first.
Anonymous
Post 01/29/2015 19:20     Subject: Confused by salary discussions--do these rates include benefits, taxes, etc?

No when people state their hourly rate it does not include all the extras. 40 hr a week for six month old twins I would expect to pay around 18-20 per hr. This does not include your employer taxes ect. And your nanny pays her own taxes out of her hourly rate so 18-20 per hr is not her take home pay.
Anonymous
Post 01/29/2015 19:12     Subject: Confused by salary discussions--do these rates include benefits, taxes, etc?

I'm just starting to wrap my head around the fact that I will need to hire a nanny in the coming months. I'm looking at discussions on salaries and wonder when people say they pay their nanny $X per hour, is that inclusive of all the extra stuff I'm going to have to pay? Like taxes, health insurance, etc? How much extra do I tack on for that? If anyone would like to tell me the range of what I can expect to pay out of pocket for a full-time live-out nanny for 6-month old twins in Arlington, I'd be more even more grateful. TIA!