Daily Nanny costs and advice | Nannies LMM 2024

To save time and disappointment:

Parents before interviewing must work out their maximum Gross per hour salary rate they can budget up to allowing for the following extra costs as that determines which Childcarers we can introduce for interview. Nannies that only talk of the take-home (Net) per hour rate they seek easily cause Parents to go over budget. It is essential the Nanny discuss a Gross per hour rate, the final Net rate is dependent on the Nanny's PAYE Tax code, if they have a 2nd Employer and the number of hours a week the Nanny works.

As a Gross salary cost starting point:

Add up the weekly essential required number of hours.
Then multiply by the minimum £16 per hour Gross cost for an experienced Nanny.
At this point, you will know if you have to reduce down that Gross per-hour rate and consider employing a lower cost Non-Experienced Nanny or can add on £1 per hour Gross (up to £18 per hour Gross) until reach the highest rate believe you can pay.
Then contact one of the below specialist Nanny Tax PAYE payroll companies (or HMRC) to ask on a standard/ basic HMRC PAYE 1257L tax code (most Nannies are on) what that converts to Net (take home and after-tax taken off) per hour /week/month.
Parents with an awareness of other additional Employer costs to pay can decide if they have to consider a lower-cost non-experienced Nanny allowing for the minimum wage or can add on an extra £1 per hour to pay higher.

www.nannytax.co.uk or 020 3137 4401
www.nannypaye.co.uk or 0845 660044
www.nannywageltd.co.uk or 020 8642 5470

What does a Nanny do:

Plans varied creative, fun, and age-appropriate activities to include practicing ABC - 123, spelling, reading, and writing.
Will take Children to a park, playgroup, library, music group, or swimming.
Will prepare and cook Children`s meals (only).
By Parent request bathe a Baby or Child.
When Parents arrive home ensure Children are calm and enjoying a sit-down quiet time perhaps colouring or story reading.
Most Parents by the 4 - 6 week probationary end agree can 1 - 2 hours meet another Nanny at a suitable Child-friendly place.

Other Child related housekeeping duties a Nanny should do:

Wash and put away only items used in their work hours.
Clean as need arises baby equipment, toys, highchair, bottle sterilizer and, pushchair mud.
Vacuum as need arises in play and kitchen areas.
End-of-day toy and playroom (s) tidy up.

Top Tips to keep a Nanny your Children are happy with:

Keep to the Child - related duties we state. An Employer wanting a whole house clean is wiser to 1 hour shorten the Nanny's work day and use that money to pay for a person who chose cleaning as a job and not Childcare.
Parents may work part or all week from home which is lovely for the Children but some Nannies find this work setting stressful as Children's routines are easily unsettled by a Parent unexpectedly popping in to chat with them. This is natural and fine but years experienced Nannies tend to avoid this work scenario as worry be treated as a mother's help so this works best if you agree:

To, text Nanny most days 30 minutes before so they can finish a lunch or activity routine to prepare for 15 - 30 minute handover.
During this time Nannies feel awkward and prefer to go to another room and do their Child-related housekeeping or ironing duties.
An approximate morning and/or afternoon window hour to aim to see the Children.

As in any other career, Nannies are entitled to varied Government Statutory legal rights such as:

Fuel/petrol and car wear allowance is paid if the Nanny is asked to use their own car for work.
Employer Liability Insurance.
Cash kitty allowance for Nanny to buy craft activity items, occasional outing treats, etc.
Discussion about enrolment into a Government Work Pension.
Annual Holiday leave - on days an Employer does not need a Nanny they are to be paid as usual and not expected to transfer the hours.
Sick Pay (SSP) - first, 3 days in a row sick are 100% unpaid (self - certification). The Employer is under no legal obligation to pay but Nanny can ask to be paid if they use available annual leave. After the 4th day of sickness if with a doctor's certificate SSP is payable at approx. £100 week and refunded by HMRC.
Maternity Leave (SMP) - for up to 52 weeks and Employer claims back from HMRC. The Nanny by Law has the right to return to work but only on the previously signed contract terms. Most Nannies will ask if they can uniquely return to work bringing their own Child which an Employer is under no legal obligation to agree to or answer in that conversation. If agreed a new contract has to be created and a lower gross per hour rate discussed as they are not paying out for Childcare to work as such an arrangement must benefit the Employer to.

Part - time - advice if the Tax Allowance can be split with a 2nd job (Employer) or when a Nanny Share when two families (ideally know each other) employ a Nanny on the same day (s) each paying £10 - £12 hour gross so Nanny earns £20 - £24 hour Gross.

Help the Employer HMRC form register on a PAYE Tax deduction Scheme:

Check (Employer responsibility) documents /visas related to eligibility to work in the UK.
Calculate all year the Employee figures based on individual personal circumstances with correct and up-to-date government advice.
Provide a Contract of Employment that is signed by both before and within 2 months of starting.
Provide a monthly payslip of the amount, date, and when a Parent has paid to HMRC their PAYE Tax.

Little Masters and Misses are:

Not qualified accountants to give Childcarers or Parents accurate or in-depth Gross-to-Net salary or final cost advice.
Not qualified solicitors to give Childcarers or Parents accurate or in-depth contract advice.
Not liable or responsible for any discussion, contract, or gross salary misunderstanding or agreement between an Employee (Nanny) or Employer (Parent) and advise both parties PAYE Tax is payable on all agreed Gross per hour earnings and not in part.

LMM deem when a Parent (Employer) or Childcarer (Parent Employee) completes and submits our form they are accepting to follow the above UK Employment Law. By doing so both are protecting themselves from a stressful HMRC inquiry and fines.

Employers are wary of considering a Nanny asking to bring their own Child (one) as their Child will not be given sole care and feel unfair that the Nanny to work like them is not paying any Childcare costs. Some Parents consider but only if charged a lower rate of around £14 per hour Gross. These Nannies often seek 10 - 20 hours a week work so often suit half days or After-school work and due to the Tax Allowance earn a good Net rate.

Ofsted Voluntary Register Allowance - (view www.gov.uk/.../nannies-registration or phone for advice 0300 123 1231) was created:

Not to benefit Nannies to ask for a higher Gross per-hour rate.
As a small allowance of approx £50 per week to help working Parents with the high cost of employing a Nanny.
We advise the Employer to pay the annual £103 annual fee and help the Nanny register through an online form. It takes a few weeks to register and a Nanny cannot apply unless they have an up-to-date Paediatric First Aid Certificate, Annual DBS, and Nanny Insurance.
Nannies can choose not to Ofsted Register but may forfeit a job offer.
Employers may be eligible for other Childcare tax/cost free schemes or have a work Childcare Salary Sacrifice Scheme.

The DBS and Ofsted organisations unlike Little Masters and Misses do not meet, interview or reference check Childcarers therefore their registration is NOT a reference to a person's, honesty, good character, or of their good care of Children.