Even within the most limited parameters there can be a significant difference in the pay rate of nannies. The hourly rate for a qualified nanny in Boston with five years experience can vary by up to $10. Yet, while in almost all cases the pay rate for a nanny is comfortably above the federal minimum wage, it is worth exploring the factors that may affect the rate of pay.

A common point of discussion is Education versus Experience. Both are recognized throughout the industry as being of great worth, but in comparisons of pay rate there is little to support the advancement of education. Some surveys indicate that a trained nanny actually has a beginning pay rate a few cents less than an unqualified nanny at the same point their career.

However, this does change with experience and the gap tends to widen over time. The difference, even after ten years, still appears significantly slight at less than a dollar per hour, but, over a standard forty to forty-five hour week, this equates to between $40 and $50; annually this builds into a $2000 to $2600 advantage to the qualified nanny.

A greater influence on pay rate than education and experience is the locality of the employment. Between capital cities there can be variation in the average hourly pay rate of up to $2 a nanny of similar education and experience; on a full time salary, an annual difference of more than $4500. Including smaller cities in the comparison can even widen the gap further.

In order to gain a picture of the situation specific to a locality, experience and education, it is worth checking websites such as, www.payscale.com. In addition, many good nanny websites will include a pay rate comparison to assist prospective and practicing nannies in their research.

It is also worth remembering that a nanny’s pay can be subject to additional benefits; among these are overtime and bonuses. Overtime is due if the employee works more than forty hours in the week and is paid at a rate of time and a half for each hour in excess of forty hours. Similarly, part-time workers are encouraged to have the “agreed upon” number of hours per week documented as this provides a point from which overtime can be assessed should the nanny be asked to work more than the originally “agreed upon” hours. Some employers are also prepared to pay incentive bonuses on the completion of the first year of service or on occasions that mark a significant stage in the relationship.

Other additions to wages can include Paid Time Off, which is agreed upon with some compromise toward the family’s routine and usually pro rate to the hours worked in the case of a part-time employee, and payment for six or more Federally recognized holidays, such as New Years Day and Christmas Day. It is also common for the nanny’s health insurance to be paid for by the family at a rate of 50% for the first year and then 100% in subsequent years.

These extra benefits are worth keeping in mind and clarifying before the commencement of employment as is an understanding of an annual performance and wage review. Such a review will offer the nanny and the employer to stay abreast of the industry standard and to maintain a sound and open working relationship.

Pay and salary discussions are often awkward events and the more structured these conversations are, the more likely both parties will feel satisfied with the outcome. Moreover, the strength of a working relationship is often founded on the ability of the employer and the nanny to be frank and honest in all affairs starting with this one.

By: Amy Sue Miller

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