What are fair wages for a nanny in Switzerland?

Great Blog post by our Nanny / Household Staff Payroll Partner quitt.ch

Found the right nanny for you in home childcare perfectly matching your requirements and your children needs? Well done! Time to employ and insure your new nanny correctly. As part of this employing process most parents see themselves faced with the question of what a fair wage for the nanny would be. These are our recommendations!

Nanny wage recommendations

Our wage recommendations for nannies are indicated as gross wages. It is import to be aware of the fact that the gross wage is the total remuneration of work carried out before the social security contributions and tax. All of our wage recommendations are based on a full time position with an employment rate of 100% and a working week of 42 hours.

At least CHF 3’450 to 3’800 without vocational training
At least CHF 3’800 to 4’800 with proven professional skills and experience
These values are based on the one hand on the handbook “Alternatives to the day-care centres” of the city of Zurich (available in German only) and on the other hand on the graph below showing the distribution of monthly gross wages of nannies employed via quitt.ch. By paying close attention to the graph you will see that the vast majority of the gross wages of nannys employed via quitt.ch are part of the wage gap indicated above.

verteilungbruttoloehne_08092016

Determing wages for a nanny: What else to consider

Many parents in Switzerland decide to hire nannies since they can look after the children “around the clock” outside the usual opening times of day care centers. Many nannies are so called live-in-nannys living with family of the children to be supervised. Lodging and boarding are provided by the family.

These out-of pocket expenses are called wages in kind which are part of the total wages for nanny, and therefore have to be accounted for accordingly. In Switzerland, the total amount of wages in kind is CHF 990. So for example if the monthly gross salary of a nanny is CHF 2800, the wages of kind of CHF 990 will be added to gross salary. So the entire monthly gross salary of the nanny will be CHF 3790. The AHV and social insurance contributions as well as the taxes will be deducted from the total amount of CHF 3790.

By using our free wage calculator you can calculate the monthly wages for your nanny including the automatic deduction of all social contributions and the cost for the compulsory accident insurance.

Nannies and occupational plans

Most nannies are employed on a monthly basis due to the high number of working hours per week. As soon as their monthly wages exceed CHF 1762.50 per month or CHF 21’150.00 per year they have to be registered with a pension fund (Second Pillar of the Swiss occupation plans).

By the way, nannies directly accommodated by families in Switzerland are generally preferred over nannies having to provide for their own accommodation and boarding!

quitt.ch offers all services needed when it comes to employing, registering and insuring your nanny in accordance with all legal requirements. quitt.ch handles all administrative employer obligations, offers a favorable pension fund solution and provides all important documents such as the monthly pay statements and a professional employment contract. Further information about the employment of a nanny can be found here.

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