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Hi OP - Exciting to know that "professionals" agree with what it sounds like you already knew: that your charges are adorable and agreeable to be around.

One of my then-charges did a little bit of print work as a toddler and while he was also adorable and agreeable, the "work" days were pretty...unenjoyable. (He no longer works.) Prior to their first day of work, I would talk to MB about how she would like you to handle things if one/both babies are tired, hungry, or just done. Make sure you know if your role will be to actively advocate for your charges, placate them into performing, or await specific instructions from MB. Hope it goes well!
Try the free tax withholding calculator at 4nannytaxes.com, but I am guessing that your employer has started withholding all taxes (income, SS, unemployment) as the number you mention is pretty close to that for someone single and and claiming zero deductions - exact amount depends on where you live. Obviously if your employer is going to start withholding taxes or more taxes (I live in MA, where my employer is only required to withhold payroll taxes and not income) there should have been a conversation and paperwork.

I would definitely ask, as you should get either your money or written confirmation about what taxes are being withheld.
I did this for my first couple of years as a nanny and it worked well at the time. A friend of mine was nannying for a family who had a friend who was looking for someone PT and I decided to go with a recommended family and fill in the rest of my time with a second family since I really clicked with the first family. It was a great experience as I really enjoyed working with both families, but that being said, my more recent job searches have focused on FT positions. Even when I was working for two families who were friends, I always had any schedule changes/requests be done through me and while the families always knew "the other mother's" name, I did not give them each other's contact info. Pros and cons may vary for you, but here were mine:

PRO:
- parents spend more time with their kid(s) and are more active in their life/lives (I find these parents tend to be easier to talk to about their children and admit that this is also part value judgment by me - I've worked for parents with more and less direct involvement in the live(s) of their child(ren) and while I am not saying there is a right or wrong, I am saying that I prefer to work with more involved parents.)
- parents tend to have more flexibility in scheduling
- more variety with days/activities, particularly if ages of children are different
- less of a routine

CONS
- vacation time can be difficult to coordinate
- nanny must be on top of schedule and set down boundaries early, as nanny's non-work obligations can easily come third/fourth/fifth
- if working for more than one family in a day, there is an additional commute, possibly with "dead" time to make sure not late for second family
- less likely to be offered benefits, guaranteed or position to be paid legally (obviously need to ask as not impossible, my experience has been that those are more common traits of FT positions)
- less of a routine

OTHER SUGGESTIONS:
- do not work for more than one family in a day, as MB1/DB1 running late will make you late for MB2/DB2 (or you will spend a lot of time waiting to go into work)
- try to coordinate agreements, so you have similar amounts of PTO
- I think it's okay to have different rates with the different families as their situations are different. I would not discuss the specifics of this between families if it happens. I would discuss sick kid/PTO expectations.
- figure out your evening/weekend policy (I always did first come, first serve for non-scheduled hours.)
- If possible, try to get families to commit to a full days (or as long of days as you want to work) on a set schedule. Decide early on if you are interested in coordinating "trading" of time between families. (I recommend doing so only minimally and with notice. Make it clear that each family has absolute priority on their time.)
I have a nanny friend who is a part-time live-in nanny. She is a recent college graduate applying to medical school, so this was a good temporary job for her. She made a one-year commitment to the family. I think it would be hard to find someone who would be interested in this position long term, but you might be able to find a grad student. I agree with above that undergrads probably want a different sort of social life.

I would emphasize that you are able to be flexible with your hours, to accommodate a second job (e.g., afterschool nanny) or student schedule, this will make your position more appealing.

If you need extra hours would you pay the person a higher rate or keep them at the reduced "live-in" rate? I think you will attract more candidates if you say something like, "rent and $250/wk for twenty hours per week, hours above 20/wk will be compensated at $x/hr." You might want the person to have extra availability if your husband is traveling or someone is ill. My friend above's main complaint about her job is how she is always being asked to do extra hours at her reduced rate (that offsets her rent) and her employers expect her to turn down babysitting for someone else during her "off" hours to work extra for them, for half the money.

I think 19:11 raises good points. How old are the kids? I think it's very different to add a 2yo than a 10yo. My charges are relatively older (4, 7, and 9), so we do a lot of drop-off playdates and inviting friends on outings. Unless they have an adult with whom I am friendly, I would not expect a friend of 7's or 9's to bring an additional adult. I'm fine with drop-off playdates with all of 4's friends, but some of her friends I would prefer not to take to a certain places. I think as kids get older, it is increasingly common to do this sort of thing. With my charges, dropoffs are reciprocated, so I know that while I might have four kids for one adventure, I am likely to have another day with only two. I do not expect extra compensation, as I think interacting with peers is part of my charges' social development, which is part of my job. Despite the fact that I am super fun, my charges would probably rather play with a friend at the museum than their nanny. While it would have been polite and appropriate for MB to run the plan by you, assuming the car issue is resolved and the total number of children is reasonable, I think don't think it's an inappropriate plan.
I agree with PP to be yourself, especially as a live-in. If you are hired to be anyone else, you will likely be unhappy...and unlikely to be in the position longterm. If you are were able to get this far along in the interview process (think of how many candidates didn't even get interviews!) you are likely to be considered for other, similar ones if this one doesn't work out.

Beyond that, I would highlight your specific skills and interests, so they know what makes you special as a candidate. A nanny portfolio or examples from prior nanny logs/photos of projects done with kids* is a great way to give a more vivid picture of yourself.

* Make sure to block any faces, names, or other identifying information.
I agree that it's the nanny's job to get to work every day that she is scheduled to work, unless she is taking PTO. If you have the flexibility it would be nice to offer to shift your nanny's hours to avoid the worst of the commute or offer her the option to stay overnight the night before, but it is entirely reasonable to expect her to work MLK/Inauguration Day, if it is not specified as a day off in her agreement. Every commuter has to endure rough commutes due to weather and/or events - at least the events are easier to plan for!
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