Nannies Understand Need to be Paid 'On The Books' and Receive Benefits of Legal Pay Household Employment Industry Surveys Show

CLIFTON PARK, N.Y., Nov. 13, 2018 /PRNewswire-PRWeb/ -- Surveys of nannies and the families that employ in-home caregivers to look after their children highlighted the importance nannies place on being paid "on the books" as well as other key insights on the professional relationship between caregiver and family and how families find their employees.

While there are several benefits to being paid legally and having taxes withheld from their pay, nannies placed an emphasis on eligibility for Social Security and Medicare benefits (77% said important or very important) and peace of mind being compliant with the law (also registering 77%). Having a legal employment history in order to obtain credit or a loan was important or very important to 73% of respondents.

Also, 61% of nannies said it was at least somewhat unlikely they would take a job that didn't pay them legally.

"Insisting on paying a nanny 'off the books' could significantly reduce the number of quality candidates when your family is looking to hire," said Guy Maddalone, founder and CEO of GTM Payroll Services and author of How to Hire a Nanny: Your Complete Guide to Finding, Hiring, and Retaining Household Help. "Considering the importance of this person's job – caring for your children while you work – you'll want a large pool of professionals to choose from as well as establish a strong working relationship once they're on the job to help with retainment."

"Poor benefits" was the top response as to what nannies like least about their profession. Families will want to consider bonuses, health insurance, and possibly a retirement plan as ways to keep their favorite caregivers. Only half of nannies receive an annual bonus and just 17% get health insurance through their employer. Less than 5% receive retirement benefits.

Among the top benefits for nannies – and a starting point for families when making a job offer include:

• 88% enjoy paid holidays
• 85% get paid vacations
• 74% receive paid sick days

Also, 79% of nannies have a work agreement, which is a critical component to a successful nanny-family relationship. A work agreement details job responsibilities and expectations, work schedule, rate of pay, benefits, and more. It's one of the first steps for families in establishing clear communications with their nanny. A lack of communication with their employer was cited by 28% of nannies as a reason to leave their current job.

For families, hiring a nanny through a job search website may seem like an efficient way to find household help.

However, the survey results showed that a family who hires a nanny through a placement agency saves time during the hiring process and will retain a nanny for a longer period of time than a family who uses a job search website to find a caregiver.

• 39% of families that found their nanny through a placement agency spent 20 or more hours on the hiring process compared to 67% that hired on their own using a job search website
• 67% of families that hired a nanny through a placement agency retained their nanny for five years compared to only 51% of families that hired a nanny using a job search website

Other key findings from the survey include:

• The top three qualities that families seek in a nanny are responsibility and trustworthiness, personality fit, and passion for child care.
• Nannies also place trust and a personality match at the top of their "wish list" followed by rate of pay
• 59% of families say schedule flexibility is one of their top three reasons they like having an in-home caregiver. The other two top reasons were more personal attention for their children (56%) and no hassles of day care drop-offs and pick-ups (51%).
• 90% of nannies were satisfied or very satisfied with their jobs

Methodology

An online survey of household employers who currently employ nannies was conducted in August 2018 and collected more than 200 responses. Also in August 2018, an online survey of nannies was fielded and received more than 300 responses.

About GTM Payroll Services

Founded in 1991, GTM Payroll Services is a recognized leader in household payroll, nanny taxes, insurance and compliance management for families that employ domestic help. GTM's online, secure, and easy-to-use solutions help families reduce the risks, hassles, and worries of getting nanny taxes right while freeing up more time for the things they truly enjoy in life. Today, GTM processes more than $1 billion in payroll every year for more than 44,000 employees nationwide. GTM's client support staff includes certified payroll professionals, household employment tax experts, licensed insurance brokers, and CPAs. For more information, visit GTM Payroll Services at https://GTM.com/household.

SOURCE GTM Payroll Services