Setting up a Nannyshare or Employing a Part-time Nanny

Setting up a nannyshare and employing a part-time nanny who is already employed by another family are two quite different employment arrangements and PAYE for Nannies Ltd operates both types of these arrangements for many of its clients and can advise on particular circumstances. The differences and some of the advantages and disadvantages of each are explained below.

Nannyshares
A nannyshare is where the same nanny looks after children from two families at the same time in the house of one of the families. The families will typically pay the nanny a premium to a normal wage for her increased responsibilities but will benefit from sharing a large proportion of the nanny's salary costs. The advantage here is that the arrangement will usually cost a lot less per hour of childcare for each family. The main disadvantage is that the arrangement may be difficult to sustain in the longer term if the circumstances of either family vary.

Employing a part-time nanny
Many new mothers, helped by recent legislation on flexible working hours and seeking an improved work-life balance will wish to work a two or three day week rather than return to a full-time position. In such cases they will often look to employ a nanny part-time to cover only the days they will work. As this situation becomes more common, an increasing number of nannies are looking for complementary positions to "top-up" their working week. The employment operates in an absolutely standard way. The main disadvantage of such a scheme is that the nanny may find it impossible to change the days she works or to cover for any extra hours. Also, if the nanny already has another job and this employment is topping-up her working week, her tax allowances will already be allocated to her first employment and employers who agree a net wage for the nanny should be aware that total pay costs for the second employer will be roughly 50% more than the agreed net wage. However, in many cases PAYE for Nannies Ltd can arrange to get the nanny's tax allowances shared equitably between the first and second employers. Please contact us for more details.