To reduce the cost of private childcare, some parents turn to the "Nanny Share." Two families hire one nanny to watch both of their children simultaneously, sometimes alternating which house the nanny works out of.
In theory, you split the cost of a private nanny between two families. In practice, a nanny share is a business arrangement. If Family A needs the nanny for 40 hours a week, and Family B only needs the nanny for 24 hours, a 50/50 split wouldn't be fair.
This article walks through how to calculate, split, and manage the finances of a nanny share.
The Base Rate vs. The Share Rate
It's tempting to negotiate the nanny's hourly rate down because there are two families paying. But the nanny is looking after two children from two different households, so the nanny may ask for a higher total rate instead.
An illustration, not a rule: Suppose each family pays two-thirds (about 66%) of the nanny's single-child hourly rate. There is no fixed standard, and rates vary by region and by nanny, so agree on the real numbers with the nanny and treat the figures below as placeholders.
If the nanny normally charges $24/hour for one child:
- In a nanny share, the nanny charges $32/hour total (a premium for managing two families).
- Family A pays $16/hour.
- Family B pays $16/hour.
The nanny earns more per hour for the extra workload, and each family still pays less than the $24/hour solo rate.
Handling Asymmetrical Hours
The 50/50 hourly split only works when both families need the exact same schedule. The reality is usually messier.
Let's say the families agreed on the $32/hour total rate ($16 per family).
- Monday to Wednesday: Both children are present. Family A pays $16/hr, Family B pays $16/hr.
- Thursday and Friday: Family B's child goes to preschool. The nanny is only watching Family A's child.
On Thursday and Friday, the "Nanny Share" is effectively paused. Family A would pay the nanny's solo rate, the full $24/hour for those two days, unless everyone agrees on something different. Family B pays $0. It wouldn't be fair to ask a family to subsidize childcare on days their child is not present.
The Host Family Subsidy
A nanny share usually takes place in one specific house, or alternates between the two. The "Host Family" provides the physical infrastructure: the electricity, the water, the toilet paper, the wear-and-tear on the toys, and the snacks.
If the share is permanently hosted at Family A's house, Family A is absorbing hidden utility and grocery costs. To keep things fair, Family B should either provide a weekly grocery stipend (e.g., buying $50 of specific snacks and supplies for the kids to eat at Family A's house) or agree to slightly subsidize the hourly rate (e.g., Family B pays $17/hr, Family A pays $15/hr) to offset the hosting burden.
Sick Days and Vacations
Whether the nanny gets guaranteed hours, paid time off, or sick leave is something to agree on up front, and the rules on employment vary by location. Splitting these costs is where families can run into friction.
Guaranteed Hours: If the agreement includes guaranteed hours and Family B decides to take their kid to Disney World for a week, they can't simply say, "We don't need the nanny this week, so we aren't paying." The nanny relies on that income. Family B would still pay their $16/hour share for the guaranteed hours, even while on vacation.
Nanny Sick Days: If the nanny calls in sick and the agreement includes paid sick days, the cost can be split according to the standard baseline schedule (e.g., both families pay their respective shares of the day's wages).
Keeping Track of the Numbers
Managing the asymmetrical hours, sick pay, and the host family grocery stipends can get tedious. At the end of the week, nobody wants to calculate "32 shared hours plus 8 solo hours minus $40 for diapers" from memory.
A shared record helps. Throughout the week, both families can log their specific hours and shared supply purchases in a shared spreadsheet or an expense-tracking app. For example, Family B could log what they spent on craft supplies for the share, and Family A could log any extra solo-care hours on Friday. At the end of the week, you can total each family's hours and expenses before paying the nanny.