Overtime basics for household employees
Under the federal Fair Labor Standards Act, most household employees must be paid at least the minimum wage and overtime at one and a half times their regular rate for hours over 40 in a workweek. Live-in employees employed directly by a household are exempt from the overtime requirement, but must still receive at least the minimum wage for all hours worked. Live-out employees are generally owed overtime. Free for families through 2026. Candidates never pay.
At a glance
| Live-out employee | Live-in employee (lives in the employer's home) | |
|---|---|---|
| Minimum wage | Yes | Yes, for all hours worked |
| Overtime after 40 hours in a workweek | Generally yes, at one and a half times the regular rate | Exempt when employed directly by the household |
| Records of hours | Keep them | Employers must keep accurate records of hours worked |
| Sleep and meal time | Counted unless agreed otherwise and truly free | Employer and employee may agree to exclude sleep, meal and other free time, but interruptions count as hours worked |
Where the minimum wage is higher than the federal one, the higher rate applies. Florida's minimum wage is $15.00 per hour from 30 Sep 2026 per FloridaCommerce (formerly DEO).
How to think about it
- Who is the employer? The live-in overtime exemption is for individuals, families and households that employ the worker directly. Under the current federal rule, a third party that employs a household worker cannot use it.
- What counts as "live-in"? DOL treats a worker as live-in when they reside in the employer's home permanently or for an extended period. A live-out worker who occasionally sleeps over is generally not live-in.
- Salary does not decide overtime. Paying a weekly or annual salary does not by itself decide whether overtime is owed. Do not assume a house manager is exempt. Check with DOL or an adviser.
- Care for an older or ill family member. Special rules for "companionship services" exist and the federal rules in this area have been in flux. Check the DOL pages for the latest.
- Florida. Florida has its own minimum wage but follows the federal overtime rule for most employers.
- Write it down. Put the hours, who may be asked to work beyond them, and how overtime is paid in your offer letter.
Hours you may have to count
Time the employee is required to be on duty or on call at the home, travel between work sites, and time when sleep or breaks are interrupted.
Sources
Not legal or tax advice.
This page is general information for families who hire household staff directly. It is not legal or tax advice, and it may not fit your situation. Ask a qualified adviser, or contact the government offices linked below, for your own facts. HomeHire is not the employer and does not run payroll or hold wages.
Related guides
Explore the US Salary Guide for national, state, and metro pay context.
Frequently asked questions
Do nannies get overtime?
Often yes. A live-out nanny is generally owed overtime at one and a half times the regular rate for hours over 40 in a workweek. A live-in nanny employed directly by the household is exempt from overtime but must be paid at least the minimum wage for all hours worked.
Is a live-in housekeeper entitled to overtime?
Generally no, when employed directly by the household and living in the home. The household must still pay at least the minimum wage for all hours worked and keep accurate records of hours.
What is the difference between live-in and live-out for overtime?
Live-in workers who reside in the employer's home are exempt from the federal overtime requirement when employed directly by a household. Live-out workers are generally entitled to overtime after 40 hours in a workweek.
Does a weekly salary mean I do not owe overtime?
Not automatically. A salary does not by itself decide whether overtime is owed. Check the Department of Labor guidance or ask an adviser, especially for house managers.
Can sleep time be excluded for a live-in employee?
The employer and a live-in employee may agree to exclude sleep, meal and other periods of complete freedom from duty. If those periods are interrupted by work, the interruption counts as hours worked.
Does Florida have its own overtime law?
Florida sets its own minimum wage, but the federal Fair Labor Standards Act is the main source of overtime rules for most employers. Check with FloridaCommerce or an adviser for your situation.
Where can I check the rules for myself?
The Department of Labor Wage and Hour Division has fact sheets on domestic service and live-in workers, and a helpline at 1-866-487-9243.
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