Register family members as nanny, caregiver or domestic help

  • Updated:
  • Damjan Schmid

Whether it’s the granny as nanny, the nephew as gardener, one’s mother as household help or the son as elderly care, private employers can employ relatives as well as friends in their own household.

What the article is about:

  • Relatives and friends can be employed in private households if there are two residences
  • Employees are insured and employers save taxes
  • Employment contract, no cash payment of salary, etc. are obligatory, as with employment with a stranger

Can family members be employed as household help?

Especially in the area of elderly care and private childcare, employing family members or friends is very popular, due to the existing relationship of trust. In principle, this is also possible, but there is one essential requirement: you are not allowed to live together in the same household. If there are different residences, employment is possible both on a minijob and midijob basis or even full-time. Registering an employment relationship even becomes obligatory if it is a regular activity with an agreed salary and fixed hours. Hiring your nephew as caregiver or your grandma as babysitter may sound unusual at first glance, but it has significant advantages for both sides.

Advantages of a registered job in the private household?

For employees, the same advantages exist as with other employment relationships. The related domestic help, child care or elder care pays into the pension and unemployment insurance and is covered by health and care insurance. In the worst case of an accident, both employer and employee are covered. In addition, the times are fixed by the official employment relationship and a framework is given, which may prevent one or the other discussion in the family.

Also the grandparents, who are already in old age pension, have no deductions of their pension payments. Whether you then support them financially with your salary or grandma and grandpa invest the money for the grandchildren can be freely chosen.

As a private employer, you are insured and can save taxes. The entire employer costs can be claimed against tax. How high the potential tax savings are, can be calculated with our salary cost calculator.

What should be considered in the case of an employment relationship with family members?

Since employment relationships with relatives in private households are sometimes subject to close examination, particular attention must be paid to ensure that a written employment contract is concluded, including, e.g. a job description, salary, vacation and workload – similarly to an employment relationship with a stranger. If, for example, you employ grandma or your own parents as private childcare, it is essential to ensure that a proper childcare contract has been signed. In addition, a separate timesheet should be kept and the salary must not be paid in cash.

Can I register an employment relationship with relatives via quitt?

quitt takes care of the registration, monthly accounting, and management of private employment relationships, whether it is a mini-job, midi-job or even a full-time job. At the end of the quitt registration process, a sample employment contract is available, and you receive your own personal customer area. With quitt, relatives can also be employed in private households, if there are two households.

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