When bringing someone into the home as a nanny, it is not only important to conduct interviews and ask for referrals, but to take things one step further and consider the steps of the employee screening process. Conducting a background check can help verify the identity of the potential hire, and can include a look into criminal records and motor vehicle reports. When choosing a company to conduct the nanny background check it is important to make sure they are looking for as much information as is legally permissible. Although this can be costly, it is well worth the money. Once references are checked and a hire is made, be sure to understand the nanny tax and how to remain compliant with government laws.