Host families need to register their au pairs for insurance coverage with the relevant provincial workers' compensation board. Premiums, depending on the province, should be less than $ 15 a month.
Registering as an employer
When a family hosts an au pair, the family assumes the status of an employer. The family therefore needs to register as such with the the Canada Revenue Agency. Only as a registered employer can families deduct EI (Employment Insurance), CPP (Canada Pension Plan) and income tax from their au pair's pay.
Claiming childcare expenses
Host families can claim childcare costs for an au pair in their income tax return. The following costs may be deducted: the au pair's pocket money, family contributions toward EI, CPP, premiums to WCB. The fee for the Premium Membership on AuPairWorld is deductible as well.