EMPLOYER OBLIGATIONS
Fairwork Australia has announced that from September 25th 2018, all occupations who are not currently covered by an award will now be under the miscellaneous award.
Any worker who is an employee working in a private home and performing the following duties: the care of children, preparing meals for children, planning educational and extra- curricular activities and light household work will now be covered under this award and are no longer deemed award free and all agencies and families will need to make amendments immediately to be in line with this award.
The award may be found here : http://awardviewer.fwo.gov.au/award/show/MA000104
Employment Agreement
An employment agreement is highly recommended which highlights both your obligations as an employer and the employee’s expectations of the following:
Weekly or hourly pay rate
- weekly or hourly rate
- Car allowance if applicable – car usage, insurance, petrol, etc
- Tax, superannuation and work cover insurance
- Day and hours of work as well as start and finish times
- Specific duties and any additional duties
- Overtime rates for working outside set times
- Annual recreation leave, sick leave, special leave, pay on public holidays etc
- Conditions of salary review
- Conditions of termination
- Social media policy
Holiday leave and sick leave: There are minimum leave entitlements for full-time and part-time employees which vary from state to state. In Qld, all full time employees are entitled to a minimum of 20 days annual leave or pro-rata for the hours/days worked. Part time employees receive the same entitlement on a pro-rata basis. Sick leave entitlement is 8 days sick leave in the first year or pro-rata for the hours/days worked.
For more information contact Fairwork
All new employees must be given a copy of the Fair Work Information Statement which can be downloaded at www.fairwork.gov.au.
Nannies can either be engaged as employees or independent contractors.
Your Nanny might work as an independent contractor if she has her own ABN
Who pays the tax and super? This is to be discussed in the interview with nanny. Some families prefer to put their Nanny on a Payroll with full employment entitlements whilst others prefer to pay an agreed hourly rate and receive an Invoice from the Nanny. In this case the nanny would be responsible themselves and be working as a sub contractor under their own ABN. Superannuation If the nanny works for more than 30 hours a week they are entitled to superannuation. More details below.
Domestic Payroll - provides a nanny tax service, specialising in assisting parents with nannies – providing tax, wages, employment contracts, insurance, super and general administration services for individuals with home help throughout Australia. Just follow this link and tell them Gold coast Nannies sent you. www.domesticpayroll.com
BLUE CARD Working with children check. Blue card screening
It is the parents responsibility to ensure the Nanny has a current and valid Blue Card.
This assesses a person’s eligibility to hold a blue card or exemption card based on their known past police and disciplinary information. This process also disqualifies certain people upfront and prevents people from working with children whose past behaviour indicates they are not eligible to enter regulated child-related employment.
ABOUT BLUE CARDS
QLD Blue Card Application
Income Tax
As an employer you will be required to register for Pay As You Go Withholding (PAYG) with the Australian Taxation Office (ATO).
Employers need to provide a tax dec form to the nanny and you must register to withhold tax. Once registered with the ATO, you will be required to withhold the necessary tax from your Nanny’s wage and forward the withholding amounts to the ATO on a quarterly basis.
Superannuation
Superannuation must be paid to the nanny’s nominated superannuation fund if the Nanny is working more than 30hrs/wk in a domestic capacity. Superannuation is calculated based on 9.5% of the gross wage and paid into the nominated fund on a quarterly basis. For more information call the Superannuation Hotline on 131 020. Super for Employers
Generally, if you pay an employee $450 or more before tax in a calendar month, you have to pay super on top of their wages. You pay super no matter whether the employee is full time, part time or casual. You have to pay super for some contractors, even if they quote an Australian business number
Child Care Benefit (CCB) for registered child care
Registered child care is care provided by grandparents, relatives, friends, or nannies who are registered as carers with the Australian Government Department of Human Services. Click Here for more Information
CCB is a payment to help families who use ‘approved’ or ‘registered’ care. Your Nanny must register with the Australian Government Department of Human Services as a Registered Child Care Provider and you must meet the eligibility criteria (e.g. immunisation requirements and residency requirements) to gain the CCB. For more information phone 136 150
INSURANCES
It is strongly recommended that you have insurance that covers domestic employees in the event of injury in the workplace (your home). In QLD Household worker insurance is only $50 and covers you for 2 years. Legislation on insurance requirements varies between the different states.
Domestic Workers Compensation, or household workers insurance, is essential if you employ someone in your home environment; it can be obtained at an estimated cost of $30 per year from most insurance companies and covers you in the unfortunate case of the employee injuring themselves whist in your home. Occupational health and Safety. Please note that it is essential you maintain a safe working environment for your nanny and conduct a home safety check to ensure this is maintained. Contact WorkCover QLD on 1300 362 128 for further information or visit Worksafe Qld
Public Liability Insurance to cover accidents in your home. You should check your Home and Contents insurance policy to ensure your Nanny is covered. Alternatively you may arrange public liability insurance. Contact Nannysure and tell them you were referred by Gold coast Nannies. NannySure www.nannysure.com.au
Motor Vehicle Insurance if your Nanny is going to be using your car.
Kilometre rate: If the Nanny is going to be using their own vehicle to do any driving as part of their Nanny position, you can reimburse by either a weekly fuel allowance or pay the current rate set by Fair Work. You should also ensure that the Nanny has appropriate car insurance.
This is a guide to your obligations as an employer and the information provided is general information only.
At Gold Coast Nannies we understand the needs and requirements are unique and different to each family and we recommend that you seek professional advice regarding your obligations as they relate to your specific circumstances.