Calling Nannynick or any other tax geniuses please!

[navyeyelasH]

Can anyone help me figure this out please.

If a nanny earns £8 p hour gross, how much NI employers contributions do you have yo pay.

Also what are the other hidden costs of employing a nanny and is there a way to approximate this?

ie> extra gas, electricity, food, outings, nanny holiday pay, mileage, anything else?

I'm trying to figure out how competetive my childminding costs are when it comes to siblings and if I should offer some sort of sibling discount.

Thanks!

Oh also how do I find out an average cost of a nanny based in my area - I thought there was a way do find out on nannyjob but think I am being a bit stupid!

Oh I think MrA is more the expert.
I'll point you to a useful website for payroll calculations. To get a realistic figure, I feel you need to know the typical number of hours worked per week, or per month, thus giving you a per week or per month gross salary figure. A nanny could be working 40-60 hours a week.

My Nanny Costs Calculation is useful to read, as I tried to include as much in that of the other costs as possible. However I am bound to have missed some things out and have made a guess at some costs, as you can't tell what some will be.

Sibling discount - why would you want to do that? They are taking up a childcare place, a place which could be sold at full price. If they aren't in your numbers though, then a discount could be applied - would only apply to over 8's though.

No easy way to find out average nanny wage in an area as far as I am aware. Looking at job listings on recruitment sites can give a indication. NannyTax Wages Survey helps give an indication as well - think a new survey is due to be published very shortly, it's often around this time of year.

Brilliant thanks nanny nick will check out those links now.

Basically we have 2 full time spots going; I've been contacted by a family who have twins and want full time care but they know me from when I was a nanny. I'm trying to convert them to childminding (they live next street over!). But cost is an issue as a "nanny would be cheaper".

I'm just trying to figure out if that is the case. I probably would give a discount if it means I'd be full from the end of Feb just for the sake of it being done IYSWIM.

Otherwise it could take 2-3 months (or longer given how rubbish direct.gov is) to fill the spots and most enquiries are 'bitty' ie 2/3 days a week so would be more of a juggle.

Ok it works out per annum that I'm at least £5k per annum cheaper than a nanny for siblings. This doesn't factor in the costs of things I can't gauge like food, nanny gifts/bonuses, possible ofsted registration, possible home insurance/car insurance increase, possible use of a PAYE company etc.

Nannynick, do you know by any chance if this statment is corrent RE childcare vouchers.

"the scheme provides great savings on childcare costs, as the first £55 per week (£243 per month) of childcare paid through the scheme is exempt from both tax and National Insurance Contributions."

Is that value the same regardless of who you go with do you know? Can't find anything on the other websites.

The £243 is the maximum amount a voucher can be I believe. So if both parents are able to claim vouchers, then they could both pay you £243 via vouchers each, each month.

MoneySavingExpert: Childcare Vouchers Guide

Brill thanks NN slightly that makes us slightly cheaper again compared to a non Ofsted nanny.

Don't think I am going to bother with sibling discount, we are already a few £1000 cheaper a 10% discount isn't going to to be a deal breaker IMO - it'll be the convenience of having a nanny that will make or break it.