Nanny Share Arrangements

A nanny share can be a fantastic arrangement for everyone involved!

For families, it offers flexible, personalised childcare in the home and can be a very cost-effective way to access a high standard of care. For children, it brings the added benefit of consistency, companionship and social interaction. And for nannies, it can be a rewarding role that offers variety, strong relationships with both families, and the opportunity to feel genuinely valued for the important work they do.

When a nanny share is set up properly, it can be a brilliant balance; families receive great value childcare, and the nanny benefits from a fair, professional arrangement that supports job satisfaction and long-term stability.

Why The Nanny’s Experience Matters

A successful nanny share is not just about making childcare more affordable. It also needs to work well for the nanny.

A nanny who feels respected, paid properly and treated professionally is more likely to be happy in the role, committed to both families and keen to stay long term. That continuity is a huge benefit for parents and children alike.

Even where families choose to pay at or around the legal minimum, a nanny share can still offer excellent value for parents while providing the nanny with secure, lawful employment. Paying correctly, being clear about expectations and setting things up properly from the outset all help create a more positive working relationship.

How Nanny Share Pay Works

One of the most important things to understand is that, in most nanny share arrangements, each family is treated separately as an employer.

That means each family should have:

·         their own payroll

·         their own contract of employment

·         their own payslips

·         their own employer arrangements set up correctly

Each family must also ensure they are paying at least the applicable National Minimum Wage or National Living Wage for the hours worked under their own employment.

From 1 April 2026, the National Living Wage for workers aged 21 and over is £12.71 per hour.

Why Shared Hours Pay Can Cause Confusion

This is where nanny shares can become tricky.

For example, if a nanny is paid £22 gross per hour in total, and two families each pay £11 per hour during shared hours, the total pay to the nanny may look reasonable overall. However, each family must still look at their own arrangement separately.

If each employer is only paying £11 per hour, that may fall below the legal minimum for that employment, even though the nanny’s combined pay is higher.

This is why nanny shares need to be structured carefully from the beginning.

Great Value Childcare Does Not Mean Underpaying The Nanny

It is important to remember that families can receive excellent value childcare whilst still paying properly.

A nanny share allows families to split the cost of highly personalised, home-based care. That means many parents can access a level of flexibility and individual attention that would normally cost significantly more if employing a nanny alone.

So even if each family simply pays the legal minimum correctly through their own employment, that can still represent great value childcare. It also helps the nanny feel secure, respected and treated fairly, which is a big plus in building a happy and lasting working relationship.

Of course, some families choose to pay above minimum wage to reflect experience, qualifications, flexibility or additional responsibilities. But whatever rate is agreed, it should be lawful, transparent and fair.

It Helps To Agree Everything Clearly From The Start

Alongside separate contracts and payrolls, it is often helpful for families to agree the practical side of the arrangement early on.

That can include things like:

·         where care will usually take place

·         how shared costs will be handled

·         what happens if one child is ill

·         how holiday arrangements will work

·         how schedule changes will be managed

·         what happens if the nanny is off sick

Clear communication at the start can help prevent misunderstandings later and makes it easier for the nanny share to run smoothly.

A Note On Alternative Ways Some Families Structure Shared Hours

In some nanny share arrangements, the nanny is very happy with the overall rate of pay for the role, because it reflects the value of their time, experience and the care they provide across both families. It can often be a higher pay rate than they would expect to earn working for a sole family without necessarily a large increase in duties.

From time to time, families and nannies approach us to ask about ways the shared hours might be structured within the paperwork so that this agreed overall pay is reflected in the arrangement.

For example, rather than recording 20 shared hours per week at £11 per hour for each family, some families ask whether the arrangement could instead be structured as 10 hours per week at £22 per hour for each employer, while keeping the nanny’s total pay the same overall, as illustrated below:

This is one example of the type of structure that families and nannies sometimes ask us about, particularly where the nanny is happy with the overall rate being paid. As with any nanny share, it is important that the arrangement is considered carefully from the outset.

At NannyPaye, we offer qualified employment law advice and contract drafting services, helping families and nannies explore the options available to them and put the right agreements in place. That means we can work with you to look at possible structures for the arrangement, while aiming to keep the childcare cost-effective for families and ensuring the nanny feels well paid, valued and happy in the role.

Setting Up A Nanny Share The Right Way

The best foundation for a successful nanny share is to set it up clearly, legally and fairly from day one.

That means:

·         separate payrolls for each family

·         separate contracts for each family

·         a lawful and transparent pay structure

·         clear communication between the families

·         an arrangement that works well for the nanny as well as for the parents

Done properly, a nanny share can be a wonderful solution: flexible, cost-effective childcare for families, and a positive, professional role for the nanny!