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The Nanny Guide: How Much Does a Nanny Cost?

Christine Koh
May 10, 2018

Thinking of hiring a nanny? In Part 4 of "The Nanny Guide," learn about typical nanny salaries and pay to help budget accordingly.

The Nanny Guide: How Much Does a Nanny Cost?
Image via Getty Images/Guido Mieth

Cost Estimates

According to Care.com data from 2016, full-time nannies (who work 40 hours/week) caring for one to two children received:

  • $14.12/hour if they worked in a family's home -- about $565 per week/$29,380 per year.

The data also show that a nanny's education level had a significant impact on her rates. Specifically, the more education a nanny had, the more money she made. Here's how much families paid for full-time nannies with a:

  • High School Diploma: $14.72/hour -- about $589/week and about $30,622/year
  • Some College: $15.39/hour -- about $616/week and about $32,012/year
  • College Degree: $16.25/hour -- about $650/week and about $33,800/year
  • Graduate Degree: $16.56/hour --  about $663/week and about $34,450/year

NOTE: Nannies are covered by the Fair Labor Standards Act. Their salaries must meet minimum wage and live-out nannies are entitled to overtime (time and a half) for work above 40 hours per week. Check your state guidelines to determine whether live-in nannies qualify for overtime above 40 hours per week.

In 2016, part-time nannies (10 hours/week) were paid an average rate of $14.69/hour -- about $147/week and about $7,638/year.

That said, there was a wide range in pay ranges, depending on location, schedules, and nanny qualifications. In 2016, families paid a pretty wide range of rates for part-time nannies:

  • Lower Pay Range: $10.83/hour -- about $108/week and about $5,629/year
  • Upper Pay Range: $18.55/hour -- about $185/week and about $9,646/year

Ultimately, you need to remember that you get what you pay for when it comes to child care. As you prioritize your nanny requirements and consider all of the associated costs, the price tag may seem a bit high.

But remember: you are hiring a nanny to nurture your children and take care of them in every capacity while you’re away. They deserve to be compensated accordingly for this important work. As you work the numbers, make sure to lay out the responsibilities expected, as well as your compensation, benefits, and tax contributions so you are prepared for the financial conversation to come.

Factors Contributing to Cost

Many factors come into play in determining the cost of a nanny. 

  • Type of Nanny
    Do you require a live-in or live-out nanny? Full-time, part-time or summer only? Live-out nannies are paid more than live-in nannies because they don't receive room and board (learn more about what to pay live-in nannies). Part-time nannies typically receive higher hourly wages than full-time nannies, given that there are fewer perks and less job security.
  • Additional Responsibilities
    Variables such as housekeeping, weekends, evenings, overnight care and traveling with family during vacation add to overall expenses.
  • Transportation
    Nannies who are expected to use their own car for the job will need to be compensated accordingly for mileage reimbursement. If she uses a family vehicle, or you live in area with good public transportation, you’ll need to provide a gas card/metro card.

    Check out these tips on how to reimburse nannies for gas and mileage.
  • Experience
    Age, years of experience, and academic coursework/training add to many nannies’ rates. College nannies can be a great resource and often have flexible schedules, while full-time nannies often offer many years’ experience, and sometimes have degrees in early childhood development or education.
  • Number of Children
    The more kids being cared for, the higher the cost. Also keep in mind that newborn nannies will cost, on average, 2% more than children ages 1 and up. A nanny may increase her rates if you decide to have more children down the road, as well.
  • Geographic Area 
    Higher cost of living areas = higher wages. For example, Chicago nannies may have a different pay rate than New York nannies or San Antonio nannies.
  • Included Benefits
    Full-time nannies typically receive paid time off, health insurance (partial or full) and federal holidays off. Also consider factoring in sick days, dental/eye coverage, and even maternity leave. 
  • Additional Incentives 
    You may wish to present additional incentives such as an end-of-year bonus, yearly raises, reimbursement for training (e.g., childhood education classes, CPR training), paid memberships, a nanny credit card (for child care expenses), etc.

Want to learn the going rate for nannies in your area? Check out our pay rate calculator for families. If you're a nanny, try this calculator just for you.

Want to learn about other child care costs in your area? Find out the cost of different full-time child care options in your area. 

Christine Koh is a music and brain scientist turned parent and writer about parenting issues for Care.com. She is also the editor of BostonMamas.com.

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