Nanny becoming a nanny share

The only way to do it is for her either to not have her child along or for her to care for another child only during the time yours are at school and preschool.

If she's OFSTED reg she can be inspected. Then she'd be found out and the register guidance clearly says the a home childcarer looking after 3 or more families must register on the compulsory and/or early years register.

She can't legally do it anyway as care for 3 or more families simultaneously requires registration as a childminder. But if she's not OFSTED registered they'd be less likely to check and the question of how well that rule is enforced could be considered (although I personally would never advise that because in the worst case your nanny could end up being barred from registering in the future).

Her insurance may limit it and OFSTED certainly do. 3 families (yours, hers and sharers) brings it into regulated territory. Whilst they might never check it's not really worth the risk. If she's OFSTED registered then it's a definite no-no.

Hi Syndey,

If you have an employee in your home as you probably know you would need employers liability insurance for Nannying purposes as you have a responsibility to provide a safe working environment. Now, some home insurances have this within their policy. If you haven't done this already, contact your home insurance as they will need to be notified of an employee working within your residence. Also, you can discuss with your home insurance how this would work in relation to another child being in your home who is being looked after by your paid Nanny. They might be able to advise you on the legal side of Nanny Shares.

However on saying this, Insurances such as NannyInsure (for the Nanny to take out) cover the Nanny for the care of up to 6 children (this can be from multiple families). This would cover your Nanny for any issues resulting from her care, it would not cover any claims arising from the other families child having an accident within your home (e.g tripping up on a piece of loose carpet and braking their arm/faulty electrical wires etc). Also, she would need to make sure that she notifies her insurance of any new children she is caring for including their medical conditions, allergies etc etc.

As for employment - if you accept the wages from another family and pay your nanny, I believe you would be classed as an employment business. As an employment business you are responsible for the Nanny's NI/Tax, Statutory Sick Pay, Statutory Maternity and Holiday Pay for both positions!! I would personally say that it would give you a lot of legal responsibility but it might be worth looking into a little more...

To avoid the worries of this, you could ask an employment business (like The Nanny Tree) to employ her on your (and the other families) behalf which means she would have one employer who would be responsible for NI/Tax & all legal and Statutory payments.

It's a mine field out there so I hope I could provide some clarity for you!! Good Luck!!

Chelsea x

Think that MrAnchovy has mentioned in the past that there is a slight saving on Employers NI if both families employ the nanny directly, rather than as joint employers.
Both families would agree a Gross salary with the nanny (presume you already have done that as PAYE uses Gross salary for calculations) so no problems with you remaining main employer. Nanny could if she so decided ask for a taxcode split but I wouldn't bother doing that, as long as main job payed more than personal tax allowance.

You should check your home insurance policy with regard to what it does and does not cover.

There are potential legal issues as she would in effect be caring for children from Family A (you) Family B (her) and Family C (new family).

If she didn't bring her own child to work with her, then it's not a problem.
Not sure how well that bit of law is regulated. It could also invalidate insurance - nanny should check with her insurer.