How Much Should I Pay My Nanny or Babysitter?

Paying your caregiver depends largely upon what type of care they are providing you.  It also depends on the city and state you live in. Generally, if you ask around, you will get the appropriate rate for sitters in your area. I will use myself as an example.

I live in Rocklin, California (a small city located on the outskirts of Sacramento).  As of January 1, 2008, minimum wage in California is currently $8.00 an hour.  As of July 24, 2009, Federal minimum wage is $7.25 an hour.  www.dir.ca.gov/dlse/faq_minimumwage.htm 

Three years ago, I hired a live-in nanny from Canada.  I paid her $800 a month and she received free room and board.  This is generally how it works with au pairs from other countries including Canada.  This was negotiated between us before she moved out here. She was only 20 years old with minimal bills, so to her, this was a great income! 

When you interview your nanny or babysitter, discuss pay.  You can almost always come to an agreement that will work for both of you.    

When you add a second or third child in the mix, the price goes up! Around where I live, it goes up to approximately $10-12 an hour when you have two children.  It can be even more if you have infants; they are harder to take care of by requiring more attention. 

 I have a babysitter that I use on occasion for a few hours at a time when I have a meeting or need to run errands.  I pay her $8.00 an hour as well.  She is only 16 years old and I pay her cash - tax free.  She loves that!  She has made a pretty good bundle of money babysitting for me and she buys a lot of clothes with the extra money! 

 I have a live-in nanny and I pay her $8.00 an hour. She lives with me rent free, has her own room, and buys her own food.  She also has her own vehicle.  She grew up in the neighboring city, so she has friends and family very close by. She is rarely here on her time off and loves spending time with her friends and mother.