This time of year families ask themselves, “What should we give our nanny for the holidays?” It is reasonable to let your caregiver know that you and your children have had a wonderful year together and that you appreciate everything they have done for you. A holiday bonus is the perfect way to show your appreciation and of course should be based off of their job performance.
It has become a universal gesture to give a holiday bonus and the nanny industry should not be left out. Giving someone a year-end bonus is an efficient way to express your gratitude and could even be viewed as an investment in the next phase of your relationship.
How much should a nanny bonus be?
It’s common practice to provide a full or part-time nanny a holiday bonus of 1-2 weeks’ income, especially in larger cities. The length of time a nanny has worked for your family could impact this number. Providing an even larger bonus is a great way to show your love and gratitude for a nanny who has been with your family for many years. For a new working relationship, providing a small holiday bonus is a nice gesture. You may consider offering one day’s pay multiplied by the amount of months they have been working with your family.
An important note to remember is that a bonus is taxable income. It is not a gift in the world of taxes. It’s best to gift the holiday bonus through a payroll company, such as Homework Solutions or GTM Payroll.
Should I give a bonus during the holidays or at an annual review?
Holiday bonuses ought to be determined by an employee’s performance, just like any other employment. In the event that poor work performance justifies not awarding a bonus, discuss what your employee can improve upon in a meeting. This is preferable to saying nothing at all. Instead, you may offer them the chance to improve and the possibility of a bonus during their yearly review.
Make sure to inform your nanny if you decide to pay an annual bonus at a time other than the holidays so they won’t be counting on it at the end of the year. If you’re not giving a holiday bonus, an annual bonus is typically awarded during the anniversary hiring performance review.
Holiday Gifts Other Than Cash
A present from the kids is a great addition if you are unable to offer a sizable holiday bonus. This may be some homemade baked goods for the holidays or a thoughtfully made card and ornament. The kids could perhaps paint something at your neighborhood pottery shop or create one of these heartfelt DIY gifts. If you are unable to offer a holiday bonus due to a tight budget, you can still offer your nanny an additional two or three vacation days that she can use the following year. Check out these other wonderful holiday gifts for your nanny:
In today’s hectic environment, it’s critical to express your gratitude to people who assist in making your burden lighter. We hope these nanny holiday bonus pointers make one area of the holiday season a little less stressful. Reach out to us today if you are looking for a nanny or household manager in the upcoming year!