Au Pairs: Don’t Get Unstuck – A Guide for UK Families

Welcoming an au pair into your home can be an enriching experience for both your family and the au pair. However, understanding the legal and financial obligations of hosting an au pair in the UK is essential to avoid costly mistakes and ensure a harmonious arrangement. Here’s what you need to know about employing an au pair in the UK, including recent changes to regulations.

What is an Au Pair?

An au pair is typically a young person from abroad who lives with a host family, helping with childcare and light housework in exchange for accommodation, meals, and a small allowance. Au pairs are not considered employees but are instead viewed as part of a cultural exchange program.

What to Pay an Au Pair

The payment for au pairs is not a formal salary but an agreed-upon “pocket money” allowance. In the UK, this is generally around £80-£110 per week for 25-30 hours of work, plus a few evenings of babysitting. If your au pair works additional hours, you should offer additional pay or benefits, such as transport costs or extra holidays. From April 2024, the national minimum wage applies to au pairs, as detailed further below.

How to Pay an Au Pair

Payments to an au pair are typically made weekly or monthly and can be done via:

• Bank transfer: The most common and trackable method.
• Cash: Less common but acceptable if both parties agree.

Ensure all payments are documented for clarity and to avoid disputes. It’s also good practice to provide a simple contract outlining the agreed terms.

Legal Requirements for Employing an Au Pair

While au pairs are not considered employees, there are still legal considerations to keep in mind:

1. Immigration Status

• Post-Brexit, EU nationals no longer have automatic rights to live and work in the UK. Ensure your au pair has the appropriate visa, such as the Youth Mobility Scheme visa.
• Nationals from countries outside the EU/EEA may also be eligible under specific visa arrangements.

2. National Minimum Wage (NMW)

• Recent changes mean au pairs are now entitled to the National Minimum Wage (NMW) if they perform regular childcare or household duties. This includes the following rates from April 2024:
  • Aged 21 and over: £11.44 per hour
  • Aged 18 to 20: £8.60 per hour
  • Aged under 18: £6.40 per hour
• Families must ensure they comply with these wage requirements to avoid potential legal issues.

3. Tax and National Insurance

• Au pairs are generally not liable for tax or National Insurance if they receive only pocket money and accommodation. However, if they earn more than the personal allowance threshold or have additional income, these rules may apply.

4. Accommodation Standards

• Provide a private room in your home, meals, and access to essential facilities. Living conditions should be comfortable and in line with UK housing standards.

5. Working Hours and Time Off

• Limit their working hours to 25-30 hours per week.
• Offer at least one full day off each week and ensure flexibility for language classes or cultural experiences.

Recent Changes and Key Considerations

• Post-Brexit Impact: The end of freedom of movement has limited the pool of EU nationals eligible to become au pairs. Families must now navigate stricter immigration rules and ensure their au pair has the right to stay and work in the UK.
• Safeguarding Checks: Conduct thorough background checks, including references and, where possible, a police clearance certificate from their home country.
• Insurance: Inform your home insurer about the arrangement and consider public liability insurance to cover potential accidents or damage caused by the au pair.

Other Useful Tips

• Clear Expectations: Discuss and document responsibilities, working hours, and house rules upfront to avoid misunderstandings.
• Cultural Exchange: Encourage your au pair to share their culture while immersing themselves in yours, enriching the experience for your whole family.
• Support and Training: Offer guidance, particularly in the early days, to help your au pair adapt to your family’s routine and childcare practices.

Conclusion

Having an au pair can be a rewarding experience for your family, providing invaluable support with childcare while fostering cultural exchange. However, staying informed about the legal and financial requirements is vital. By planning ahead and adhering to UK regulations, you can avoid pitfalls and ensure a smooth, positive experience for everyone involved.

If you need help navigating the complexities of hosting an au pair or understanding your financial obligations, Black and White Accounting is here to assist. Contact us today for expert advice tailored to your needs.