Anonymous wrote:You don’t need worker’s compensation if you are in Virginia. But you do have to pay time and a half for overtime, even if your nanny is willing to accept otherwise (if you want to be compliant with the law).

It is a good idea to have workman's comp. because if she is hurt while on duty, you can be sued. Also, fixed salaries for nannies are illegal. All nannies are hourly employees and must be paid as such. OT is paid for all hours over 40.

Anonymous wrote:

Anonymous wrote:Don't forget child support and college costs after DH gets her pregnant.

How sad to be so insecure

Right? As if a nanny is not a professional care provider but a floozy just waiting to jump on your husband's junk. Maybe if you're married to a Gavin Rossdale or Ethan Hawke with a similar reputation for womanizing, sure. Your average dad and his dad bod... not so much.

Anonymous wrote:Don't forget child support and college costs after DH gets her pregnant.

How sad to be so insecure

Anonymous wrote:Don't forget child support and college costs after DH gets her pregnant.

Please Mom Boss - - share your true story.
Is this why you do not hire attractive Nannies?

Btw, it is illegal to pay only salary to your Nanny.
If she works over 40HRS/wk., then you MUST pay her OT.
You cannot bank any hours.

You don’t need worker’s compensation if you are in Virginia. But you do have to pay time and a half for overtime, even if your nanny is willing to accept otherwise (if you want to be compliant with the law).

Don't forget child support and college costs after DH gets her pregnant.

If you call Care.com's payroll service, they will walk you through it all an estimate the total costs for you. One big question is whether you need more than 40 hours of care -- paying overtime is expensive!!!! Also factor in that you will probably give your nanny a small raise each year, whereas daycare tends to get slightly cheaper each year.

Once you have a nanny, you will need a spreadsheet to track this for accounting purposes, and it can't hurt to make it now when you need to figure out these costs.

You need to include gross pay per pay period (number of hours X hourly rate--DCUM gives lots of examples. Probably between $18 and $28/hr). If you intend to employ the nanny for more than 40 hours per week, you need to find out if you have to pay time and a half. You can think about this another way--negotiate with your nanny for a fixed salary per week (with set number of hours), and then work backwards to determine what your "hourly" rate is on the contract to make the overtime work out.

-Track withholding (state income) and withholding (federal income) (these are not your costs, but you need to keep track). You will have to dig through the federal P15 to calculate withholding amounts, etc., once you know your nanny's W4 exemptions, etc. You can wait to do this until you actually have a nanny, but it's good to keep it in mind. Maryland has a similar document, and I assume Virginia does to. Google "Virginia withholding guide."

-Then add the nanny's contribution toward payroll taxes of 1/2 medicare and 1/2 social security (their cost) plus your employer contributions toward payroll taxes (half of medicare and half of social security).
-Finally, factor in your state unemployment insurance (SUTA--probably some percentage up to a fixed amount--in MD it's a fixed percentage of the first $8500) and your federal unemployment insurance (same fixed percentage approach, first $7500, I believe).

-Finally you should factor in whatever Christmas bonus you plan to provide (we do the standard extra two weeks of pay).
-Also consider your cost to hire an alternate babysitter if/when you give your nanny paid leave (probably another two weeks, but you may not have to pay a temporary person the same as your nanny and will probably not have to pay taxes on that).

By which I mean, payroll taxes, workers comp insurance, whatever else I might be missing that I'm not thinking of (VA). Considering making the switch after an endless string of daycare center plagues and trying to figure out total cost.