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In the video tutorial, Matu explains how to create a nanny contract using legal templates from legaltemplates.net. To access the templates, click on the link below the video and then business forms. Rather than scrolling through all the forms, use the search function to find "nanny contract." The contract specifies the service being offered, the provider (you), the buyer (customer), and a description of the nanny service. Keep the details clear and concise.