Working in high-net-worth homes as a nanny, house manager, or housekeeper can be a rewarding experience, not just for the unique challenges and opportunities it presents but also for the comprehensive benefits packages often provided by these employers. If you are considering or currently working in such roles, understanding the industry-standard benefits can help you appreciate the advantages and advocate for the compensation you deserve.

In this blog, we’ll look at what the industry best practices are when it comes to benefits so that you can feel fully informed before accepting any type of household employment. If you have specific questions, please get in touch - and remember, lots of roles will have salary and benefits based on experience and expertise.

Standard Benefits for Full-Time Household Employees

1. Guaranteed Hours: One of the fundamental things that you should be looking for in any potential household employment role is guaranteed hours. It will ensure you have a stable and predictable income.

2. Healthcare Plans: Nowadays, employers typically offer healthcare plans or stipends for their employee. These can range from 100% coverage to 80/20 plans, with stipend amounts between $500 and $1,000 per month for employees that purchase their own health insurance through the marketplace.

3. Paid Time Off:

• Vacation Days: Full-time employees are generally entitled to 10 paid vacation days per year.

• Sick Days: You should expect ~6 paid sick days annually.

• Federal Holidays: Most employers provide 12 paid federal holidays each year.

*With any paid time off, you should always ensure that you discuss your plans with your employer with enough advance notice. Similarly, employers may request that you work a federal holiday and then offer you time off in lieu (TOIL), or to pay you for the additional time worked.

4. Financial Benefits:

• Yearly Raise: To adjust for inflation, you should expect at least a 3% annual raise.

• Year-End Discretionary Bonus: Typically, this is equivalent to one month’s salary.

• Mileage Reimbursement: For work-related travel while on the job, reimbursement is provided at the IRS rate if you are required to use your own vehicle. For 2024, this is 67 cents per mile.

• Per-Diem and Expenses: Expenses for work-related travel are usually covered. Note: this doesn’t mean travel to/from your usual place of work.

5. Performance Reviews: Expect yearly wage and performance reviews, along with a letter of reference to support your career advancement. Read more about how employees can get a raise or promotion if they work in the private service industry.

Standard Benefits for Part-Time Household Employees

1. Guaranteed Hours: Even as a part-time employee, guaranteed hours help ensure stable earnings so be sure to ask about this when applying for roles.

2. Paid Time Off:

• Vacation Days: Part-time employees usually receive 5 paid vacation days per year.

• Sick Days: 3 paid sick days are standard.

• Federal Holidays: Like full-time employees, part-timers often receive 12 paid federal holidays.

3. Financial Benefits:

• Yearly Raise: A 3% annual raise to adjust for inflation.

• Year-End Discretionary Bonus: Often equivalent to one month’s salary.

• Mileage Reimbursement: 67 cents per mile for work-related travel (as of 2024).

• Per-Diem and Expenses: Covered for work-related travel.

4. Performance Reviews: Annual reviews and a letter of reference are typically provided.

Enhanced Benefits (Optional)

In addition to standard benefits, some employers offer enhanced benefits to attract and retain top talent. These are unique to each employer and may be advertised when the job is listed, or may be discussed at the time of an offer of employment. Enhanced benefits for household employees can include:

1. Sign-On Bonus: Employers may offer a sign-on bonus ranging from $5,000 to $20,000.

2. Comprehensive Healthcare: Plans may extend to the employee’s spouse and dependents, along with dental and vision plans, health savings accounts, and life insurance.

3. Additional Paid Time Off:

• Holidays: Up to 16 paid holidays.

• Vacation Days: 15 days for up to 10 years of experience, 20 days for 10+ years, and 30 days for 20+ years of experience.

4. Guaranteed Year-End Bonus: Ranging from 10% to 25% of base pay.

5. Vehicle Benefits: Employers may provide a vehicle for work and personal use, or a stipend for fuel, insurance, and maintenance costs.

6. Transportation Costs: Coverage for train and bus tickets.

7. Relocation Packages: If moving out of state, relocation expenses must be covered.

8. Retirement Plans: Including employer match and potentially stock options.

9. Housing: Housing or a housing allowance can be provided.

10. Educational Assistance: Tuition assistance for the employee, their spouse, and children.

11. Clothing Allowance: Especially if a uniform is required.

12. Long-Term Benefits:

• Anniversary Bonus: A significant bonus ($30,000 - $50,000) for long-term service (e.g., 5 years).

• Meal Allowances: Including dining allowances for chefs.

• Gym Membership: To promote health and wellness.

• Structured Bonus Plans: To reward performance.

• Gifts: For staff birthdays, holidays, and work anniversaries.

Working in luxury homes as a household employee comes with a range of benefits that go beyond the standard employment package. Understanding these benefits can help you make informed decisions about your career and ensure you are receiving fair and competitive compensation. As the demand for skilled household employees continues to grow, knowing what to expect and what to negotiate for can significantly enhance your professional and personal well-being. Whether you are a nanny, house manager, or housekeeper, the comprehensive and enhanced benefits offered in high-net-worth homes make these positions not only desirable but also highly rewarding. Want to learn more about household employment salary and benefits? Read our essential guide on how to negotiate your pay and benefits if you’re a nanny, house manager or housekeeper.

Are you looking to take the next step in your household employment career?

We hire the best domestic staff qualified to fit each home’s unique needs, saving you time and providing peace of mind for clients and candidates.

Let us help you find the best nanny, house manager, housekeeper positions you may be searching for and submit an application with My Household Managed.