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You must get a written agreement, and taxes must be withheld...so get a payroll service to process all this.
Now, there is a huge issue...since your Dad has Alzheimer's...he is likely not capable to sign any contract. You could be putting yourself in a world of hurt. If there is no POA...you could be accused of financial abuse of an elder. You could be causing your Dad to not qualify for Medicaid in the future (5 year look back on all expenditure). If you are the POA....you cannot sign this contract for your Dad....you cannot sign a contract as POA if you would gain from the contract.
So...lots of issues.
Most caregivers are paid little to nothing. Because of all these triangles...and the very high cost of actually paying anything close to what it is worth
As Katie mentions there are complications to this plan that must also be considered, beyond those she mentioned are there sibs who will objects or believe you are freeloading off your father? Is his home practical for his physical needs both today and in the future? What plans do you have for help so that you get respite? And as I learned, sometimes despite our plans and good intentions we can not see it through until the end and he may have to spend some time in the NH, have you planned an exit strategy?
https://www.agingcare.com/articles/personal-care-agreements-compensate-family-caregivers-181562.htm
With Alzheimer's, as you probably already know, it never gets better, only worse. So you need to talk to Dad that if your caregiving becomes too overwhelming, would he allow professional caregivers from an Agency to come in to help, or would he prefer to move to Assisted Living/Memory Care. Take Dad around to some of the places to give him an idea for the future. Now, these are Assisted Living, not nursing homes. If Dad can budget that.
Since I couldn't do hands-on caregiving being I was a senior myself, my Dad hired around the clock care. It cost him $20k per month. Yikes !! Later Dad wanted something less costly, so he moved into Independent Living which was around $5k per month. then moved to Memory Care which was closer to $6k per month. All Dad wanted was a place to sleep and good meals. He loved the food there, plus he had housekeeping and linen services as part of the rent.
Something to think about for the future needs.