It seems tempting to go it alone and take a DIY approach to finding a nanny. Without those agency placement fees you’ll surely save money, right?
Unfortunately the cost to hire a nanny is made up of so much more than what you might think. The nanny cost is just one element of many that you need to factor into your budget.
We’ve broken down some general figures so you can decide if the cost to hire a nanny without the help of a nanny agency is worth it for your circumstances.
Up front costs
Before you even think about the actual hiring of the nanny, you have a number of up front costs you will need to consider:
- Fees to advertise the role. Depending on where you advertise these can be a few hundred dollars.
- A legal contract of employment which will need to be drafted to meet employment requirements in your state or territory.
- Your time to prepare the job description and review the applicants. This isn’t strictly a financial cost but you are likely looking for a nanny because you need to get more time back in your day so spending a significant amount of time in your search is counterintuitive.
Once you have found the perfect person, the cost to hire a nanny starts to rise.
Depending on experience, you can expect to pay between $25-$35/hr for a nanny.
That is the base. But then you will need to add:
- Workers compensation
- Nanny insurance
- Leave allowances
You could easily be looking at upwards of $40/hr once these other expenses are factored in.
Ongoing and incidental expenses
Once your nanny has started working with you, what happens when they move away and you need to find a new nanny? Or the nanny’s schedule changes and you need to shift your work hours to meet the changed schedule?
Not only are you up for additional advertising costs as well as an impact on your time, but you have the added stress of needing to go through the process again.
These ongoing expenses can really start to add to the cost to hire a nanny. These aren’t expenses you can predict or plan for but they sure can hurt your back pocket.
The cost of other household help
One other thing you might not have considered is the cost of other household help. At mtime, we roll the tasks of a nanny, cook, and cleaner into one single person who can also help with chores and errands - a Moncierge. This gives our clients a cost effective solution to their total household help needs.
But if you are looking at the cost to hire a nanny, and also considering hiring a cleaner or arranging a meal service, it may be worth your while to look at a housekeeping nanny option like a Moncierge. You’ll have the help you need with the flexibility to tap into different areas as required.
Get peace of mind with clear costs
When you sign up to mtime, you pay a $149 annual membership fee. Included in this fee is the placement fee for us to find your perfect Moncierge. And if for any reason we need to find you a replacement, this is also covered.
From there you just pay for what you need at a fixed rate of $40/hour. You don’t need to worry about superannuation or insurances - we’ve taken care of everything. It really is the simplest way to get access to the quality, affordable support you need to manage your complete household help requirements.