It’ll come as no surprise to you that Sydney is an expensive place to call home. From mortgage repayments and groceries to school fees, petrol, and the occasional family holiday (well, in a post-COVID world!), it’s not hard to guess that cost of living pressures are on the rise.
Hiring a Sydney nanny is an investment. While they can help to relieve the burden of errands and chores, it’s essential to find a high-quality carer that you can trust. You want your family and household to be in professional hands to ensure you’re getting the best value for your money.
To help you weigh up the cost of hiring a nanny in Sydney, discover the key factors you need to consider and what hidden costs can put added pressure on your household budget.
How much does it cost to hire a nanny in Sydney?
While hiring a nanny might seem like a straightforward process, the costs can quickly mount up. While most nannies will charge an hourly rate, there’s also a range of additional costs that can catch many Sydney parents out.
Nannies are actually considered employees (not contractors), according to the Fair Work Ombudsman. Not only does this require you to employ them on a part-time or full-time basis (which can be challenging if your family’s needs change week-to-week), but also means you’ll need to consider additional employee entitlements on top of their hourly rate, including:
- Tax: which needs to be paid to the Australian Tax Office
- Superannuation contributions: which must meet the minimum super guarantee rate (currently 9.5% of your nanny’s ordinary time earnings)
- Employee benefits: including annual leave, sick and carer’s leave, maternity leave etc.
- Insurance: making sure your nanny is covered by Workers Compensation Insurance as well as Liability and Professional Indemnity Insurance
Plus, if you’re hiring an au pair or live-in nanny, you might also be offering non-cash benefits (such as free rent) as part of your employment package. If so, you’ll also need to register for the Fringe Benefits Tax.
Juggling all these costs and administrative tasks can be overwhelming for many busy families, which is where nanny agencies come in. The traditional approach of using an agency removes the paperwork from this process, and they’ll typically handle the costs of tax, super, insurance, and employee benefits for your nanny.
However, many agencies charge high fees (often upwards of $1,000) on top of your nanny’s hourly rate. Plus, additional fees may also be charged (such as a replacement fee if you lose your original nanny). With the cost of mortgage repayment, school fees, petrol, and groceries already so high in Sydney, hiring a nanny the traditional way can be an expensive option that adds to the cost of living pressures for Sydney families.
What steps are involved when hiring a nanny?
Just like recruiting a new team member at work, hiring a nanny involves a number of steps and important decisions. You want to make sure your family is in safe hands with someone you trust, meaning screening, background checks, and thorough interviews need to be a priority. Plus, time is money and that means you want to find the most streamlined approach to save you both effort and income.
If you’re thinking about hiring a nanny yourself, here’s a snapshot of what steps you’ll need to take:
- Writing and posting job listings across various online platforms and job boards.
- Reviewing, shortlisting, and interviewing potential applications (often during business hours).
- Completing nanny background checks and reviewing the potential applicant’s qualifications to ensure they have up-to-date training and certifications.
- Trialing nannies to find the right nanny for your family (which can be a process of trial and error that can cost you both time and money).
Plus, once you’ve hired a nanny there’s a number of ongoing administrative tasks to complete on regular basis, including:
- Hiring replacements (often at short notice) if your nanny is sick or unable to work.
- Rehiring if your original nanny moves on (or your family moves suburbs).
- Finding a new nanny to meet the changing needs of your family as your kids grow up.
Many of these tedious tasks can be handled by a nanny agency, who will manage hiring, screening, and finding replacement nannies for your family. However, this comes at a high cost as many of these extra services (such as hiring replacements) come with additional fees and charges. Even finding a good, reliable agency takes time and comes at the cost of potentially reducing your productivity at work.
Unfortunately, many busy Sydney families aren’t aware of just how much time and effort is involved in hiring a nanny. This hidden work and hassle (and the impact this has on your earning potential) can add extra strain to the to-do lists of busy parents (like you) and prevent you from spending precious quality time with your kids. Wouldn’t you rather spend your weekends at the beach instead of sorting through job applications?
What is the cost of securing a high-quality, risk-free nanny for your family?
We’ve all heard the saying “time is money”, and this phrase rings true for many working parents in Sydney. The high cost of living we face means that juggling kids and a career is often a necessity. With such limited time available to create memories as a family, finding ways to streamline your household tasks and errands is often a big priority for busy parents.
We understand how important your time is, which is why we offer every family a personal concierge to take care of all the admin of hiring household help. That means no more job posting, interviews, or frantic searches for a replacement. If your needs change, we offer full flexibility to pause or change your hours (and we manage the entire booking process for you).
We want to make sure your only job is the reclaim time for what you love, which is why we offer a clear annual membership fee ($149 AUD) and a flat hourly rate. In return, you’ll receive an all-in-one family assistant (a Moncierge) and a dedicated customer service representative (a Concierge) to handle all your home needs. Plus, we also offer free replacements if you move homes or your family’s needs change.
All of our Moncierges are vetted, trained and insured by us, backed by over two year’s experience managing households and working with kids. Our comprehensive recruitment process and stringent assessments give you the peace of mind knowing all the relevant paperwork (such as working with children checks, police checks, and reference checks) have been completed.
Find your perfect Sydney nanny with mtime
Ultimately, you want your family to be in the best hands possible. The costs of hiring a nanny yourself can quickly add up and many nanny agencies come with hidden costs that can easily blow your household budget. It’s important to find a solution that offers a single transparent cost that gives you a consistent, quality service you can rely on.
Are you looking for in-home support in Sydney? mtime has just landed in Sydney! To celebrate, we're offering 50% off the annual membership fee (normally $149) for every customer in Sydney who books 6 or more hours per week. See how mtime works or sign up here.