Which is cheaper? Nanny or childminder

[Alibongo37]

I'm pregnant with my second and I'll need to get childcare dir them when they're a year old. By then, my daughter will be 3. What can I do? I can't afford double nursery fees?? Confused by all the options ,,,,

You'll be responsible for operating PAYE for the nanny. Worth bearing in mind.

When you have two or more children on a general note nannies tend to be the slightly cheaper option, as nannies charge per family compared to nurseries/childminders who charge per child (same may offer a sibling discount) but then you also have to price in the extra children attending classes playgroups etc petrol allowance if you need your nanny to drive

Don't forget your 3yo will get 30hours of childcare free by then, which might change your figures.

Childminder will almost certainly be cheaper, especially if your 3 year old gets 30 free hours.

With two children a childminder is generally a little lower cost but not as convenient.

You need to list the pros and cons of each option and decide what is important to you.

A nanny just cares for your children - they are your employee so can be told what to do.

A childminder providers a care service to many families, they decide what they do and how they do it.

A nanny comes to your home, your children could still be in bed when your nanny arrives.

You take your children to a childminder, so you need to get yourself and your children ready in the morning and take to childminders.

You employ a nanny so have employer responsibilities but good news, there are companies that can help with the paperwork, such as www.nannypaye.co.uk who will help with payslips, contract, pension and remind you when to pay HMRC.

You use the service of a childminder for which they charge a fee. You pay their fee, you don't have admin to do or payments to HMRC.

Childcare funding schemes vary, both childminders and nannies can accept childcare vouchers or tax-free childcare (nannies need to be registered with the regulator to accept these schemes). Some childminders may offer 15/30 hour education funding.

Childminders and nannies will take/collect children from pre-school/school but do check which ones a childminder will collect from as they have other children who they also need to consider.

Some really interesting points, thank you!
It's a bit of a mind field. Before employing anyone, I'd like to employ someone to make the decision for me first!

Look at what you can afford to pay first - that will begin to rule out options.

You started by saying you could not afford double nursery fees, so I'm not sure how you would afford a nanny or childminder. Care for two children is care for two. Economy of scale comes when you have three, four, more... as a nanny is a per family cost not per child.

Fair point @nannynick . I think the 30 hours of free childcare will be the key thing here....either that or move back North! :)