Frequently Asked Questions


About Pay The Nanny


  • Who is Pay The Nanny?

    Pay The Nanny is a New Zealand owned and operated payroll provider.


    Our team includes certified CAs, financial and taxation specialists who help households make it simple to hire and manage nannies and domestic helpers.


    Our goal is to make it simple, easy and hassle free for households to be able to hire nannies and domestic workers.

  • Does Pay The Nanny recruit nannies?

    No. We are not a Recruitment Agency, so we do not source or place nannies with any households.


    We are a payroll provider and we only manage the payroll for nannies after they have been found, either directly or through an agency.

  • Where abouts is Pay The Nanny based?

    We have an office in Wellington but we operate in the cloud, meaning that we provide payroll services to nannies all over New Zealand. 


    We provide email and phone support throughout the country.


    We're also operating in Australia and we're hoping to expand further in the next few years.


  • How do I sign up?

    Signing up is super simple. You can complete the online form here.


    There's a bit of information you'll need to collect from your nanny and have handy before you beging the form (such as IRD numbers, bank accounts, tax codes & kiwisaver details).


    Once you've completed the form, we'll get you setup in our system and send through a confirmation email along with further details.


  • Do you have a mobile app?

    We sure do, we have a mobile app that families and nannies can use in both NZ & AU for their payroll.


    To check it out, download it via the links on the app or play store.


    Play store:  here

    App store:  here


Employment Obligations


  • Do you become the employer of the nanny?

    No, we don’t become the employer. When you hire a nanny then you will become the employer of that Nanny and responsible for paying all the necessary employee entitlements


    With Pay The Nanny, we effectively become a joint employer. This means, you'll still need an employment contract and will be fully responsible for the work they undertake. However, we assume the responsibilites for paying your nanny and applicable parties like the IRD.


    For the purposes of the IRD, all employer returns are filed through Pay The Nanny (rather than you directly as the employer). This means we will assume the obligations of making sure that employers have calculated and paid the correct amount of taxes.

  • Who is responsible for managing payments to the nannies and the IRD?

    With each payroll we process, Pay the Nanny will calculate the correct amount that needs to be paid to the IRD.


    Those amounts, along with the amounts to be paid to your Nanny, will be direct debited from your nominated account.


    Pay The Nanny takes full responsibility for ensuring any amounts are paid correctly, once received.

  • How can Pay The Nanny mitigate risks of employing nannies?

    At Pay The Nanny, we take great pride in ensuring we remove the risks associated with households employing nannies. The relationship is kept between Pay the Nanny and the IRD for tax purposes which takes the risk away from our clients.


    We also look after Kiwisaver payments, to ensure everyone is compliant.

  • Do I need to pay nannies for sick leave and holidays?

    Again, all nannies are deemed to be employees of the household they are employed by. Therefore, nannies are entitled to the same employment benefits as any other employees.


    This means there is a requirement to the minimum entitlements under the Holiday Act 2003.

  • Can my nanny be a contractor?

    The main difference is that employees work for you, and contractors work for themselves.


    In most scenarios, families employing a nanny are responsible for when and how they complete their work. Nannies aren't able to sub-contract their work making it difficult for them to be classified as a contractor.


    For more information, check we wrote an article on this here.

  • Do you provide HR support?

    We're definitely not employment lawyers, so we don't provide binding legal advice.


    However, we're experts in domestic employment and can definitely provide generalised HR support for both employers and nannies. 


    There's no extra fee for this and it's included as part of our standard pricing. 


Kiwi Savers, Acc, Taxes


  • Will I still have to pay ACC?

    Households who employ a nanny will be required to pay for the employer contributions (work levy) of their employees.


    This covers the employee for any work related accidents that occur.


    With each nanny’s pay, Pay the Nanny will charge an ACC levy of 1.5%. This levy includes our ACC processing fee and once you receive your ACC invoice, we’ll pay this directly on your behalf.


    This means that you won’t receive a surprise when you receive your invoice each year!

  • Do I need to pay Kiwisaver to my nanny?

    All nannies are deemed to be employees of the household they are employed by. Therefore, any employee who meets the criteria for automatic enrollment must be enrolled in Kiwisaver.


    Your employer compulsory contributions must be on top of your employee’s regular pay. 


    If your kiwisaver is negotiated as part of the gross rate, ensure that your employment contract clearly states that.


Software


  • What payroll system do you use?

    We've developed our own custom platform that's cutting edge and best in class.


    Previously, we've used third-party software but have developed a custom platform that better meets the needs of our customers. It's been built with the domestic employee in mind.


    For a demo/preview on the system and some general guidance - view our page here.

  • I've got some questions around using the system

    We've built up a list of our most common queries and provided some answers in this support page here.

  • Can I use your software for my nanny agency?

    We love to partner with nanny agencies and help them build their offerings to customers. 


    Whislt we don't license out our software to external parties, we'd be happy to talk about partnership opportunities and how you might be able to integrate our software in to your current solutions.


Payroll and Timesheets


  • How often do the nannies get paid?

    All nannies are paid in arrears on the Friday in line with their payment cycle. Our normal working week runs from Monday to Sunday.


    We have different pay cycles, either weekly, fortnightly or monthly and these are dependent on the preference of each customer.


    All nannies are paid in the same cycle. For example, all fortnightly cycle nannies are paid at the same time, to ensure we can streamline our processes and so no pays get missed!


  • Do I need to register as an employer with the IRD?

    No, you won’t need to register as an employer with the IRD.


    By signing up with Pay the Nanny we become the “tax employer of record” meaning that we will collect, calculate and submit the correct taxes with the IRD on your behalf.


    If you're transitioning from another payroll provider, you might be registered as an employer with the IRD. We recommend you check this, and if you are, de-register as an employer to avoid any late filing fees.

  • Why do I need to sign a direct debit form?

    To ensure nannies are paid on time we require each household to sign a direct debit form.


    Direct debits will go out on the Wednesday of each pay week.


    You’ll be responsible for ensuring that you have sufficient funds in your account before the direct debit goes out.

  • When is the cut-off times for each payroll period?

    Timesheets need to be submitted and approved before 5pm on the Sunday of each fortnightly pay period.


    Any payroll changes need to be received by us before 2pm on the Monday of each week.


    We're pretty accommodating, and our number one priority is that everyone gets paid. So if you have any issues, then email us at payroll@paythenanny.nz

  • My nanny forgot to submit her time for this week will she still get paid?

    To ensure we process the correct payments, our timesheets cuts off at 5pm Sunday of each week. Timesheets then need to be reviewed and approved by 2pm on Monday.


    Our timesheet cut offs are strict, so any information not received by 2pm Monday, won’t be processed until the next payroll period.


    This can be a challenge sometimes for both employers and nannies. However, it ensures we can quickly and easily process everyone's pay on time.


    If you know in advance that it's likely you won't be able to meet the cut-offs, definitely send us an email to payroll@paythenanny.nz and we'll be able to get it sorted for you.


Other Services


  • Can you provide a service for anyone that isn’t a nanny?

    Pay The Nanny is focused on nannies at the moment but our services really extend to anyone who needs help with managing tax and payroll for a domestic employee.


    Our sister company Pay The Staff provides outsourced payroll services and software to small and medium sized businseses within New Zealand.


    Feel free to get in contact with us if you have anything you think we can help with.


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