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Setting nanny rates: How much to charge for your services

Setting nanny rates: How much to charge for your services

You’ve had a successful interview for a new nanny position. You like the family, and the family likes you. Now it’s time to answer their next question: “What rate do you charge for your nanny services?”

Based on 2022 national averages on Care.com, the average nanny makes about $18.85 per hour in Canada, or $754 a week for a 40-hour work week. But how much you charge for your nanny services will depend a lot on where you live, what you bring to the table and—perhaps most importantly—what you’re being asked to do. Tasks like preparing meals or doing laundry will take additional effort on top of caring for children, and you want to be sure you’re paid what you’re worth. Here’s how to figure that out.

What to consider when determining your rate

In addition to your budget and that of the family’s, deciding on a nanny pay rate involves considering your location, your background, and how much work is involved.

1. Average nanny rates for your area

Base pay rates are often dependent on how expensive it is to live in a given place, such as the average cost of rent or the price of groceries. If a particular city has a shortage of qualified nannies, that might also mean higher prices overall, as families compete for the few who are available.

Here are some examples of the going nanny rates based on location, according to recent Care.com data.

Current nanny pay rates for top cities*

CITYHOURLY NANNY RATES
Toronto$18.96
Montreal$18.38
Vancouver$19.80
Calgary$18.56
Edmonton$17.88
Ottawa$17.84
Winnipeg$16.48
Quebec$16.31
Hamilton$18.36
Kitchener$18.69
Rate information as of July 2022.

Looking up average nanny rates for your area is good starting place—you can always go up or down based on your experience or expected duties.

2. Your experience

How many years have you been working as a childcare provider (including babysitting and in places like a childcare centre)? How many years have you been working as a nanny, specifically? The more experience you have, the more you can charge.

It’s important to note that this generally refers to paid work experience only. Experience raising your own children can help your resume and tip the scales in your favour during the hiring process, but it shouldn’t factor into how much you charge for your nanny services.

3. Your level of education

Do you have a university degree? How about a master’s? Nannies with more education are typically able to charge more, especially if the degree is relevant to childcare, such as a bachelor’s degree in early childhood education or a master’s in child psychology. Someone with a graduate degree can charge, on average, about $3 more an hour than someone with a high school diploma.

Other licences or certifications could also give you leverage to charge more. Families will often pay extra for nannies who are licensed nurses or certified teachers, for example, because of the expertise they’re able to provide.

4. The number of children and their ages

The rate you set should be dependent upon the number of kids in your care, as well as their ages and individual needs. For example, caring for four kids is significantly more challenging than caring for one, and an infant likely requires more hands-on care than a school-age child. Children with medical or behavioural issues might require more attention than other children as well. That extra workload should be taken into consideration when you’re determining your nanny pay rate.

Something many nannies of younger children don’t take into consideration is after-school or summertime care for school-age siblings. You might be hired to care for an infant, but when school lets out, find that the child’s siblings are suddenly yours to watch, too — exponentially increasing your workload.

Nannies whose families have school-age kids should talk about those issues up front and figure out what kind of compensation will be provided for school breaks or the summer months, in particular.

5. Other benefits

Consider charging slightly less if it means gaining some other perks or benefits, such as:

Some nannies might choose to accept lower pay rates for their nanny services if families allow them to bring their own children to work with them. This could help you save on childcare costs yourself—something that’s becoming increasingly expensive for many families.

What to charge for additional services

It’s not uncommon for nannies to pitch in here and there with household tasks during naptime, but if you’re regularly being asked to do things unrelated to childcare, you should factor that into your hourly pay rate.

Cooking for the children, light housekeeping, and driving them to and from activities should be standard. But anything above and beyond, like regularly cooking for the whole family or doing the household laundry merits adding $1.50 to $3 to your hourly rate. Likewise, if you use your own car to transport children, it would be appropriate to ask the family to give you a predetermined mileage rate to cover the cost of gas and any normal wear and tear on your vehicle.

In addition to cooking, cleaning and laundry, other services you should consider charging extra for may include:

  • Transportation to and from school or activities.
  • Dog-walking or other pet care.
  • Administering medications.
  • Doctor visits.
  • Grocery shopping.
  • Tutoring.
  • Managing contractors, such as landscapers or pool cleaners.
  • Buying gifts.
  • Party planning.

When to ask for a raise

Even if already working with a family, nannies can still negotiate for more pay, often as part of routine performance appraisals.

As children, and especially infants, grow, job duties for nannies will evolve and may become more demanding.

It’s a good idea to ask for a job evaluation every six to nine months to discuss your performance and changing responsibilities, as well as a fair rate increase.

Or you could opt for annual performance reviews. One expert suggests nannies ask for at least $1.50/hour raise each year, unless a change in job duties warrant a larger increase. As an alternative, the family could provide an annual performance bonus in lieu of upping the hourly rate. Regardless, nannies should incorporate both the routine appraisals and either the rate increase or annual bonus into their nanny contract, so everyone is on the same page about what to expect.

Setting a pay rate for your nanny services isn’t a perfect science. You might propose a starting rate you think is appropriate, only to realize later the compensation doesn’t quite match the workload. One way to avoid that might be to incorporate a three- or six-month trial period into the nanny contract, giving you a built-in timeline to revisit payment early on. And if you do get into a situation where you think you’ve made a mistake with your rate, don’t hesitate to speak up. Many families want to give their nannies a fair wage—but it’s up to you to communicate what that is and why.