Rhode Island 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 RI labor laws.
Key Resources:
Workers’ compensation insurance coverage is not required in Rhode Island. However, it is a good idea to have coverage as it protects both the employer and the employee for 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.
Rhode Island law requires all employers to provide certain notices to their employees:
Having an agreement reduces awkwardness and misunderstandings, especially as things come up you just didn’t anticipate. 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.
WEEKLY PAYCYCLE: REQUIRED
Hourly employees in Rhode Island must be paid weekly.
EARNED SICK TIME: REQUIRED
Unpaid sick time is required, up to 40 hours/year for full-time employees. Even though not required, paid sick time could be a competitive benefit. For ex, you could offer 3 paid days/year (24 hours), or match what you get at your work. You can add the agreed upon paid sick hours in your employee’s profile. When taken, simply enter the sick hours in the Nest Payroll app when creating a paycheck for the applicable week.
VACATION TIME or PAID TIME OFF: NOT REQUIRED
Paid vacation time is not required, but it could be an important benefit to offer. If you do, you must follow certain guidelines. For example, Rhode Island considers accrued vacation to be a form of wages that has already been earned by the employee. Accrued vacation must be paid out to an employee upon termination or separation from the employer. Vacation/PTO hours can be entered in the Nest Payroll app when creating a paycheck.
Details: State of RI - Wage Hour Book
MINIMUM WAGE AND OVERTIME: REQUIRED BY LAW
All household employees are classified as hourly (non-exempt) and are subject to minimum wage protections. To check what the current RI minimum wage rate is, and if your city has a higher minimum wage requirement, check the following resources.
The Economic Policy Institute - Minimum Wage Tracker
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 for hours worked in excess of eight hours in a day, during weekends, or on holidays.
If your employee leaves, gets fired, or you lay your employee off, please see:
Maryland Termination Pay Requirements
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.