Question for nannies

[Anonymous]

Would you consider sticking with a family you liked if you would have to take a $110/week pay cut?

Situation is that our nanny share will be dissolving and I am thinking about making my nanny an offer for just us, rather than look for another share family. I am trying to come up with details that would be financially doable for us, but still fair for the nanny.

Basically, the job would go from a share (paid at $18.50 avg per hr for 47.5 hrs) to a single child ($17.50 per hr for 40 hrs). This would amount to a $110 pay cut per week, though she would be working 7.5 hours less a week. On the other hand, we would also raise her paid vacation days by 15 days or more a year (we have travel already on the books; she otherwise would have to come in to work with the other family). If we were to become her sole employer, we would keep her health care and transportation stipends the same as when she was being paid these by two families (so there would be no decrease on this front). Of course I know that the only person who knows whether the nanny will think this is fair, is the nanny herself, but I wanted to get some feeback from from the sharks of DCUM Not sure if this is pertinent, but we pay the nanny legally and would continue to do so. Her duties would not increase at all (no housework, etc).

Thanks!

[Anonymous]

Wait maybe cause it's late and I had a bit too much whiskey (it's Monday - I needed it!)

But

18.50 x 47.50 = 878.75 (no over time rate after 40 )
17.50 x 40 = 700

Thats way more than 110/week

Would it throw her into a different tax bracket???

[Anonymous]

Op here, sorry, I meant $110 net difference (take home pay). You are absolutely right, it is a difference of $180 gross.

[Anonymous]

With the ot rate

18.50 x 40 = 740

27.75 x 7.5 = 208.12 (time and a half )

740+208.12 = 948.12.

[Anonymous]

OP, here.

Apologies if it isn't still clear. As stated above, that is $18 AVERAGE - so the first 40 hours are paid less than that (i forget what, maybe around 16 or so to account for the 7.5 hours at the time and a half rate). I have it all spelled out clearly in the contract, so that all parties are in full compliance with the law.

But, getting back to the question at hand. Do you think that this kind of significant pay cut could work, or should I start looking for a new family? Thanks!

[Anonymous]

Op again, pardon, that is 18.50 average, not 18.

[Anonymous]

Yes, yes, and yes!
However, I'm good at living under my means and budgeting (most of the time)

Just to make sure I understand:
Take home pay will be $110 less per week
She gets 15 days more vacation time (on top of her other vacation time?)
She still gets healthcare stipend
Still gets transportation stipend
No increase in duties (you might want to reconsider this -- at least have her help with child's laundry if she doesn't already. No major housework, but a little more kid-related tasks)

I would absolutely, without a doubt, accept that offer.
However, I'd make 100% sure that her pay will only decrease by $110 per week. When you talk to her about it, it would help if you had paperwork to show it to her -- I'm a very visual person when discussing numbers.

[Anonymous]

That is still pretty decent money ! I wish I could find a decent family who values a nannies job and stop trying to net pay $11/hr for 1 child. Yes, I am pretty sure she will continue working for you all. Less children so it should be obvious, she'd receive less money.

[Anonymous]

Like you already said, it depends on what she's comfortable with and how stable to she is financially. It works out to about a $5,700 loss annually, and while your paying a perfectly fair rate, Nannies just don't (typically) make high salaries, so that's a a big loss. Honestly I really value working for a good family, but I have to consider my future and my savings as well. If she has a spouse that makes a decent living then she may be ok with this.

Good Luck!

[Anonymous]

I would definitely consider that, particularly with healthcare provided.

[Anonymous]

I would accept this offer from a NF as long as I had a great relationship with them and loved my job.

Granted she may be making $100 less a week, you have to remember she is only working for one family and is also working less hours.

OP- I say you go for it and see what she says.

[Anonymous]

Yes OP - Definitely give her the new rate/hours. It's still a normal/above normal pay and the benefits look decent so I'm sure she will be happy with it.

[Anonymous]

I too would consider this offer, but would like it better if you were open to occasional shares if another family needs care one day. That might help offset the decrease in pay at least sine of the time.

[Anonymous]

Make the offer; it's an easier job, too, so if she was feeling at all burnt out from the share, she might be all over it!

[Anonymous]

I think you're getting gut reaction responses OP, and yes on the surface this sounds awesome. However, I would not be happy in the long run making over $400 less per month, and I don't know what nanny would be. That's the majority of my rent money right there. The extra vacation would be nice but it doesn't pay the bills. And as a nanny who works shares, having one kid every day would bore me to tears and your nanny may be like me, or she could relish the thought of an easier job, who knows. All of that being said, if your nanny turns you down, you have a wonderful package to offer someone who isn't used to making more and wont see it as a $400/month pay cut.