Part time nanny - wages

[kazbett]

I'm looking for some input on my childcare dilemma please
My daughter is at a private nursery 3 days a week and will start school in January. I am going to need a nanny to start at 7.30 am and take her to school, and then collect her at 3 ish and stay with her until 6.30 pm when I get home from work.
I have managed to find someone who wants take a part time job so that she can go back to Uni, and the fact that she won't have to do much for me (maybe some very minor chores!) between 9 and 3 is great as she'll be able to do her study work in that time. I'm happy with that, and she gets to earn some money while she's studying. She's also very local and has lots of experience and is lovely. So, all seems perfect....BUT .....
...I know I should still pay her for the time she is not actually with my daughter as I will need her to cover the school holidays, and I understand she wants to bring in a reasonable wage, but is it unfair for me to suggest that I pay her less for the 9-3 hours in term time and bump it up again during the holidays?
I'm not being tight (or am I) but the equivalent of a full time nanny's wage (due to early start and late end times) is going to cripple me; I pay about a third of that amount for the nursery at the moment, and if I can save some money without p*ing her off completely my worries over whether I can afford to go for the nanny option go away. I've looked for a nanny share but it doesn't seem to work very well with the hours I need someone.
I was thinking of say, half the amount (?4 ph) for the school hours, and back up to full wage (?8 ph) in holiday time. It is sole charge, for one angelic (!) little girl, so I thought that would be quite fair ... any thoughts?

SInce you have already found someone for the job - have you tried asking her what her expected wages would be?

I know that my nanny would rather earn less money and work 'better' hours and for a family she likes than earn more money and do more inconvenient hours - so it's worth trying to negotiate with your new nanny. I would think that as she is doing her own study in the time your daughter is in school that it could be seen as 'non-working' hours.
It might be worth trying to work out the total amount you want to pay her in a year, then dividing it by 12 so she gets the same amount each month whether it's termtime or hols (as most people have similar monthly expenses each month and a fluctuating income is hard to manage) - you will need to either cross your fingers that she lasts a whole year in the job, or put a formula into her contract explaining that if she leaves before the end of the year how any money left owing (either to or from her) will be paid/recovered.
And make sure that you quote the wage Gross not Net (and put it in the contract as Gross) - to protect you from any changes in her tax situation.

Could the hours inbetween really be considered non-working hours? Would the nanny not still be on-call?

As a nanny is an employee, National Minimum Wage would apply, so that needs to be factored in.
Could pay NMW for all hours during term time, and then bulk it up for the holidays.

When would nanny have their holiday? As an employee they would get 4 weeks paid holiday, so need to work out how to do that.

I like the monthly pay suggestion... that's what I get as I work term-time only but pay split over 12 months. Having a fixed monthly pay would also overcome how much pay is due for nannies own holiday.

So think the soluition here would be to agree a fixed monthly salary, with a contract setting out exactly what 'core' working hours are required throughout the year.

I think your suggestion sounds reasonable - but as Nannynick suggests, National Minimum Wage will apply (although if you average it out over 12m you might just be ok?).

I have an issue with NMW (for a different reason) with my potential nanny and have yet to find a way round it - though have recently instructed an employment lawyer, so if I find a way, I will post and let you know.

Good luck - I do think your suggestion is fair and reasonable.

Interesting. Your situation almost warrants an au pair. 3-4 hours a day of childcare. How old is your daughter? I would think you could save money and possibly get a bit of housework done if you went for an au pair. But, of course this would only work if you have a room to offer her.

Also, you do not need to pay a live-in au pair minimum wage. It's more like R&B plus say £60/week (not sure of current going rate). There are no takes to pay on that level of income.

you're right, an au pair would be cheaperbut we don't have the room unfortunately. Thanks all for the suggestions. I think I will go for the monthly gross option and see what reaction I get ...fingers crossed!