What benefits should I offer my nanny?

Written By Karen K.

While benefits aren’t required, they are great ways to attract and keep quality candidates. Career nannies will expect paid time off including sick days, paid holidays, guaranteed hours and legal W2 pay.

Core benefits most nannies expect

Paid time off (PTO)

  • Common baseline: 10–15 days paid per year (often split as vacation + personal days)

  • Many families do 1 week of your choice + 1 week of nanny’s choice (with notice)

Paid holidays

  • Common: 6–10 paid holidays (New Year’s Day, Memorial Day, July 4, Labor Day, Thanksgiving, day after Thanksgiving, Christmas Eve/Day, etc.)

Paid sick time

  • Common: 5–7 paid sick days per year (more for higher-end roles)

  • Clarify how sick days work if the kids are sick (many nannies still work with typical colds; some families add a “contagious illness” policy)

Guaranteed hours

  • If you cancel early, travel, or don’t need care: your nanny is still paid for the agreed schedule.

  • This is one of the biggest retention factors.

Payroll + taxes (paid legally)

  • W-2, payroll withholding, unemployment coverage (and often workers’ comp, depending on your setup)

  • Many nannies view legal pay as non-negotiable.

Strong “competitive” benefits (great for retention)

Health insurance support

  • Either a monthly stipend (common) or partial premium reimbursement.

  • Even a smaller stipend helps you stand out.

Mileage reimbursement

  • If nanny drives their own car for work errands/transport: reimburse at the IRS mileage rate (typical standard), or offer flat gas stipend

  • If using your vehicle, cover gas and clarify rules.

Paid professional development

  • CPR/First Aid renewal, newborn care training, early childhood classes, conferences

    • Some nanny placement agencies will cover the cost of CPR/First Aid before nanny is placed

  • Also consider paying for required certifications

Yearly raise + performance review

  • Common: annual review with a raise tied to performance/cost of living.

Bonus structure

  • Common: holiday bonus (often 1 -2 weeks of pay, sometimes ½ week)

  • Optional: performance bonus after 12 months

Benefits for specific situations

Overtime pay

  • If your nanny is non-exempt (most are), overtime (1.5x pay) is typically required under federal law when applicable.

  • Spell out the schedule, overtime rules, and how extra hours are approved.

Inclement weather / emergency closure pay

  • Define whether nanny is expected to come in, use PTO, or gets paid if roads are unsafe.

Meals on duty

  • Many families allow the nanny to eat household food while working (optional but appreciated).

Car seat / supplies provided & memberships

  • If nanny transports kids: provide car seats, stroller, activity budget, memberships, etc.

A simple “standard” benefits package example

Many families start here:

  • Guaranteed hours

  • 2 weeks PTO (if full-time, 10 days, if part-time, equivalent of 2 weeks of normal schedule)

  • Paid major holidays, like Memorial Day, 4th of July, Labor Day, Thanksgiving + Friday, Christmas Eve and Christmas Day, New Year's Day

  • 3-5 sick days

  • Mileage reimbursement at IRS rate

  • Paid CPR/First Aid renewal

  • W-2 payroll

  • Holiday bonus (½–1 week pay)

What to put in writing

Benefits work best when they’re crystal clear:

  • PTO accrual vs front-loaded, rollover rules

  • Notice required for vacation requests

  • Sick day expectations and illness policies

  • Guaranteed hours language

  • Mileage reimbursement rules and what counts

  • Overtime / additional hours approval process

Karen K.
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