A housekeeper removes water from mirror.

What You Can Do to Minimize Household Staff Risk

Acquiring wealth through career success often means time is at a premium. And household staff, such as housekeepers, nannies, and personal assistants, fill critical roles. 

However, it’s essential to take steps to minimize the risk of any potential issues arising. 

Here are a few tips for reducing risk when employing household staff:

Formalize your home into a workplace

Human resources departments have formalized policies and procedures from hiring to performance reviews. Adopt that same strategy with your household staff.  

  • Conduct thorough screening: It’s essential to know who you’re hiring, so conduct a thorough background check on potential employees. 
  • Have clear expectations: Ensure you and the employee understand the job. Create a job description and include work hours, duties, and specific requirements or qualifications. Consider having a written contract, which can provide a precise point of reference in case of any disputes.
  • Be aware of employment laws: Always adhere to legal requirements such as paid time off, sick leave, and workers’ compensation. 

Manage Staff Proactively

Train and supervise your staff: Rules in one home may not apply to another. Proper training ensures that your staff is performing their duties correctly and can help prevent any issues from arising. Think about the unique features of your residence and the related instructions you want to impart.

Have Proper Insurance Coverage

Ensuring adequate insurance protection is critical for any employer and for wealth preservation. Three coverages can help protect your family, assets, and staff:

  • Excess liability insurance provides coverage for big, unexpected events after exceeding the primary limits on another policy, such as auto. In today’s litigious society, jury awards often surpass those initial limits.
  • Employment practices liability insurance covers claims of wrongful termination, sexual harassment, discrimination, and other employment-related issues. This insurance is often added to an excess liability policy but can be a stand-alone policy.
  • Workers’ compensation insurance provides medical care and wage benefits to employees who suffer on-the-job injuries. Most states require workers’ compensation by law.

Having a household staff greatly helps free up time to focus on what matters. Taking time to formalize your process and obtain proper insurance can ensure a positive work environment where your household runs smoothly.