By HomePay
Household employment continues to evolve, with growing structure and professionalism across the industry. As we support families across many markets, several consistent trends continue to stand out.
PTO Policies
Paid time off is increasingly standard. A common structure we see includes two weeks of vacation, often split between time chosen by the family and time chosen by the nanny. Paid holidays are frequently included, and many arrangements also outline separate sick time, particularly where it is not mandated by state law. Clear documentation of PTO expectations is becoming more common overall.
Healthcare Contributions
Health insurance reimbursements or HRAS are a frequent part of compensation packages, especially in full-time roles. Monthly contributions commonly range from approximately $200-$500. Since this benefit is non-taxable for both the family and the nanny, it provides a meaningful impact.
Retention-Focused Benefits
Families are placing greater emphasis on long-term retention. In addition to base compensation, we see annual raises (often around 2.5%-5%), holiday and anniversary bonuses, mileage reimbursement, and mental health or wellness days as part of their employment structure.
Guaranteed Hours
Guaranteed hours continue to be a widely encouraged and used structure. They help create predictable income for nannies while giving everyone clarity around scheduling expectations. We’ve seen increased awareness around how guaranteed hours are defined and documented, particularly in written employment agreements.
Legal Payroll
More families are recognizing legal payroll as a core part of professional household employment. Proper tax withholding, overtime compliance, and year-end documentation not only support legal requirements but also provide nannies with verifiable income. This can be important for long-term financial goals such as renting, buying, or building credit history.
For families navigating household employment, HomePay is available to support with your
payroll setup, tax compliance, and ongoing administration.
