Giving Nanny a Raise
Parent Q&A
Archived Q&A and Reviews
Raise for nanny after a year?
Feb 2006
Our nanny has been with us nearly one year and we are wondering what is an appropriate raise for her. She's done an excellent job and we definitely want to keep her happy. At the same time, costs are high and we need to consider what we can afford. Does anyone know if there is an expectation among nannies about annual raises? Can anyone share what they've offered in the past? Any advice would be appreciated. Thank you.
My nannie started with us when my son was 2 months old. We started at her at $10/hr for 1 child and have given her a $1/hr raise every September (the month she started with us). I am very happy with her and wanted to keep her happy too. Since I knew that I was going to send him to preschool when he was 3 so that just meant 2 raises, so I was comfortable giving her the expectation of an annual raise. Nannies do a very important job for us and I think good ones are very worth it. Good Luck
I think annual raises are pretty standard, unless you are already paying your nanny well above the normal rate. The specific amount matters less than the fact that you graciously offer her one. For instance, if you're already paying her $15 per hour, can you afford $16.50 or $16? It's not a huge amount for you, and it'll make her feel appreciated and valued. If you can't afford a dollar per hour extra, maybe raise it by 50 cents an hour and give her an annual bonus or gift along with it. been there
On my first anniversary I got a $2 per hour raise. It was a great surprise and very welcome. If you don't feel financially comfortable with an ongoing raise in pay, perhaps a one time bonus would be better for you? Failing that, how about some ''perks''? One paid personal day earned each month? Major holidays off (with pay) or if you already do that, how about some minor holidays off with pay? Of course, this must coincide with your work days off - and it probably won't. Since I don't know what you already offer this nanny it is difficult to suggest alternatives to a raise. How about a gift card tucked in with the paycheck once a month. Not a huge one, maybe $25 on a different card each month? Nothing beats a pay raise!
You have a good package and rate already on offer, so I'd probably do a $1/hour raise, or 5%. That gives you room to continue to offer a similar raise each year.
I agree! You've got a really wonderful package already.
We give our nanny an annual $1/hr raise. It is 5% which I think is a decent raise and surpasses the annual cost of living increase. Plus, $1 is a more straight-forward amount as opposed to 75 or 90 cents.
Your package seems industry standard, except for the hourly wage, which is low. You don’t mention your location, but in many areas of the Bay, $25-30/hour (net) is the going rate, especially for a child under age two. You also don’t mention your nanny’s education or experience level, but since you are pleased with her work, I would be inclined to recommend an increase of at least 12% this first year.
For a comparison of prevailing nanny rates in the Bay, see BPN's 2018 nanny survey: https://www.berkeleyparentsnetwork.org/recommend/advice/nanny-shares/nanny-pay
I would ignore the advice to give a 12% raise. No nanny is netting (or even grossing) $30/hour for taking care of one child. It would probably require about a $45/hour gross to get to a $30 net. To put this in perspective, if a person worked for a company and their salary was calculated based upon a $45/hour gross wage, a full time employee would be paid $90,000/year. This is so far off from market I wonder whether there was a typo in the recommendation.