Setting Up Direct Deposit For Nanny Pay

After figuring out exactly what you want to pay your nanny, your next question should be how to pay your nanny. Since you’re going to be making nanny tax deductions from the nanny pay, cutting checks is the most efficient payment option. But the question really isn’t about whether to write a check or not; the question is whether to offer it hand-to-hand come payday, or setup a direct deposit bank account for the nanny. If you’re only paying a nanny who works for you on a casual basis, setting up a direct deposit system probably isn’t necessary. However, a full time nanny might appreciate the convenience of having her checks directly deposited into her bank account. If that’s the case, there are a few things you need to do to get the system set up. 1) Ask the nanny to open a bank account at the institution of her choice if she doesn’t already have one. 2) Ask the nanny to provide you with a voided check. You’ll need the account and routing number in order to set up direct deposit. 3) You’ll need to invest in some sort of nanny (payroll) software in order to access online direct payments. 4) If you need help getting the system setup, you might have the option of contacting the support contacts listed with the nanny software, or try contacting the bank for information on setting up direct deposit accounts. Once you’ve set up direct deposit, payday will be simplified for you and your nanny.