According to the U.S. Department of Labor, child care workers providing residential care (a group that includes nannies) had median hourly earnings of $11.17 (or $23,234 annually) in May 2018. The department also reports that of all child care workers, 10 percent earned less than $8.53 per hour (approximately $17,742 per year), and 10 percent earned more than $16.55 per hour (approximately $34,424 per year).
In reality, however, nannies often work more than 40 hours per week, and their pay may not be based on an hourly rate, but rather be a flat amount that may range from $250 to $400 or more per week. These weekly earnings translate into yearly incomes ranging from $13,000 to $20,800 or more. Income also depends on such factors as the number of children, length of time with a family, and level of previous experience. Some employers provide room and board, as well as use of a vehicle, but in return offer lower pay. Presently, the highest demands for nannies are in large cities on the West and East coasts. High demand can result in higher wages.
Some nannies may be asked to travel with the family. If it is a business-oriented trip, a nanny may be compensated with wages as well as additional days off upon return. If the travel is for vacation, a nanny may get paid a bonus for working additional days. Some employers choose not to take their nannies along when they travel, and these nannies may not earn any wages while the family is gone. Such situations can be a financial disadvantage for the nanny who has been promised full-time work and full-time pay. It is recommended that nannies anticipate possible scenarios or situations that may affect their working schedules and wages and discuss these issues with employers in advance.
Nannies often have work contracts with their families that designate wages, requirements, fringe benefits, and salary increases. Health insurance, worker's compensation, and Social Security tax are sometimes included in the benefits package. Annual pay raises vary, with increases of 7 or 8 percent being on the high end of the scale.