Alaska Household Employer Checklist
We’ve got you covered on the payroll end. Please read carefully the following resources and information to help keep you in compliance with AK labor laws.
Key Resources:
Workers’ compensation insurance coverage for employees is required of every employer, unless the employee is a part-time babysitter or cleaning person. This is an insurance requirement, not a tax, and covers on-the-job injuries. You may already be covered through your homeowners’ or renters’ policy, but please call your insurance company to check.
Federal law requires that all employers request this form to be completed by the prospective employee. Don’t submit it to anyone, just keep it with your employer records in case of an audit.
I-9 form: https://www.uscis.gov/i-9
W-4 form: https://www.irs.gov/pub/irs-pdf/fw4.pdf
To be sure your employee doesn’t get an unexpected tax bill, or have too much withheld, have them complete a W-4 form when they are hired, or anytime they experience a change in their withholding requirements (marriage, birth of child, additional income, etc.). You can update your employee’s profile in the Nest Payroll app at anytime during the year.
Having an agreement reduces awkwardness and misunderstandings, especially as things come up you just didn’t anticipate. Alaska requires the agreement to be written, and include the hourly pay rate, the days your employee will be paid and how the employee gets paid (mobile payment, check, cash, mailed check). If you don’t have an agreement with your employee, you can download this one and modify for your situation. This one is for a nanny, but you can easily change out the role of the employee, such as for a housekeeper or caregiver, making it work for you.
Additionally, Hand In Hand is a great resource for tackling all sorts of challenges that come with household employment, creating a more dignified and respectful workplace for all. Please take advantage of their excellent and free sample contracts and guide books.
Mandatory Employee Notice at time of hire
PAID SICK TIME: NOT REQUIRED UNLESS IT’S IN THE WORK AGREEMENT
Sick leave isn’t required, but if you’d like to offer it, a typical amount is three days or 24 hours per year. Agreed upon paid sick time can be entered in the Nest Payroll app when creating a paycheck.
VACATION TIME or PAID TIME OFF: NOT REQUIRED UNLESS IT’S IN THE WORK AGREEMENT
Paid vacation time is not required, but it could be an important benefit to offer. Agreed upon vacation can be entered in the Nest Payroll app when creating a paycheck.
MINIMUM WAGE: REQUIRED BY LAW
All household employees are classified as hourly (non-exempt) and are subject to minimum wage protections. To check what the current AK minimum wage rate is, and if your city has a higher minimum wage requirement, click on the following:
The Economic Policy Institute - Minimum Wage Tracker
OVERTIME: REQUIRED BY LAW
Overtime of at least 1.5x the hourly rate for any hours worked over 40 regular hours in a 7-day workweek. Overtime compensation is not required on holidays or for live-in employees.
Details: AK Dept. of Labor
If your employee leaves, gets fired, or you lay your employee off, please see these resources:
Alaska Mandatory Poster: Notice to Separated Employees
The information provided on this page is general in nature. This is not to be taken as tax, legal, benefits, financial, or HR advice. Since rules and regulations change over time and can vary by location, consult an attorney or financial advisor for your specific situation.