Thinking about hiring a nanny? Here's what you need to know

Hiring a nanny is a big event for a family, especially if it is the first time choosing this childcare option. A nanny will be an important person in a child’s development and must work well in order to benefit and complement the family dynamic. A healthy and happy environment for all is the goal.

Employing a nanny for the first time can be daunting when trying to navigate the ins and outs of the arrangement. To make it a bit smoother we have outlined some helpful information on the process.

What is a nanny?  

Nannies are childcare workers employed by families on a full-time or part-time basis. They may work fixed hours each week and are often considered employees of the family.

A nanny provides childcare according to the needs and preferences of the family. Nannies may have varying levels of childcare experience and may or may not have formal training or certifications in childcare.

According to Luxembourg nanny agency Joyser Services, a nanny’s role is more than the sum of her daily tasks. "They must be able to adapt activities to the interests, developmental capacities and personality of each child and to communicate effectively with children and parents. This requires a person with a high level of emotional intelligence."

What are the duties of a nanny?  

The principal duties of a nanny, as outlined by Joyser Services, include:

• Creating a safe and stimulating environment for the child
• Bathing and dressing
• Planning and preparing meals and feeding the child
• Organising outings
• Helping with homework
• Reading to the child
• Playing educational games as well as doing arts & crafts  

Why employ a nanny? 

Thuy Gattaux, director and founder at Home Services Lux, believes there are many advantages for households in hiring a nanny for their childcare needs.

“The benefits of having a nanny in the home are considerable, offering much more than simply looking after the children. They actively contribute to their development, through educational activities, tutoring and sometimes learning new languages. This flexibility is particularly valuable for working parents, making it easier to manage the balance between work and family responsibilities.”
 
Ms Gattaux adds that hiring a nanny can significantly “improve family dynamics, guaranteeing tailor-made support that is essential to children's well-being and development.”

When taking the preliminary steps towards hiring a nanny, she stresses the importance of doing exhaustive research. 
“A meticulous approach is recommended, often starting with the close circle before turning to specialist platforms and social networks. The perfect match between a nanny and her family is essential, emphasising the importance of unique family dynamics, values and routines. Successful integration of the nanny enhances daily care and enriches family life with their dynamism and experience.”

Clear communication  

Defining expectations is critical from the outset so both sides are on the same page. However, she sounds a note of caution on why the arrangement won’t always be successful.
 
“At the same time, it is crucial to recognise certain reasons why a relationship with a nanny may not work out, often due to a lack of transparency regarding the expectations of each party. A clear definition of tasks, priorities and commitments, such as hours and remuneration, is fundamental. Adequate supervision of the nanny, clarifying the places, activities and tasks to be carried out in complete safety, is essential. Providing the right working conditions and encouraging quality time and play between the nanny and the children are key steps in building a trusting and rewarding relationship.”
  
Through her agency, Ms Gattaux notes that turning to a nanny is an option that more and more families are taking. “The growing popularity of hiring a nanny in Luxembourg is a testament to how well it meets the needs of working families. However, the choice of this solution depends very much on each family's expectations of a personalised childcare setting.”

Ms Gattaux also points out the importance of government support, particularly for single-parent families who, despite their interest in finding a nanny, often face financial barriers.

Administrative steps when hiring a nanny  

If you choose to employ a nanny you must provide an employment contract, which includes the following details–working hours, nature of the work, type of remuneration, paid leave (full-time employees are entitled to 26 days of paid annual leave), and other terms agreed.

Fixed-term employment contracts can be renewed twice provided that the total duration of the contract does not exceed 24 months.

According to MyGuichet.lu, when a family employs a nanny for a child or children under 14, they must declare the new employee with the CCSS (Centre Commun de la Sécurité Sociale) also known as Joint Social Security Centre within eight days of their hiring.

Only one single declaration for the salary paid needs to be made to the CCSS, which is in charge of registering the worker for social security and receiving social contributions and withholding tax.
 
The registered employee is covered by social security insurances: the worker is protected in the event of illness, maternity, work accidents, etc. and makes old-age pension contributions.

The declaration is made by submitting an online 'Employee declaration form for a private household / host family' via MyGuichet.lu (available under 'Forms / Online services').

Likewise, in the event of termination of the employment contract, a declaration of end of employment must be made to the CCSS.

If you pay an agency to find you a nanny, these administrative obligations are managed by the agency as part of its service.

Work permit 

If the nanny is not from an EU/ EEA country or Switzerland, they will need a work permit to be employed in Luxembourg.

What do you pay a nanny? 

In 2024, the minimum wage depends on your age and experience. For adults, unskilled workers get at least €2,570.94 per month while skilled workers earn €3,085.11 or more.

It’s a good idea to check what the agency rates are to give you a fair idea as to what to pay. Your nanny will also be entitled to paid leave and wages on public holidays. You'll pay the net amount agreed with them. You will receive an invoice from the CCSS for the tax (10%) and social security contributions you owe.

A note about taxes 

It is possible to deduct some of the cost of childcare in your annual tax return. Making a declaration concerning a nanny enables employers to benefit from a maximum fixed-rate tax allowance of €5,400 per year (by submitting a tax return). Details on guichet.lu. 

Platforms and agencies to find a nanny in Luxembourg

Home Services Lux - Based in Luxembourg city, this company has been around since 2013. They have recently launched a dedicated service for nannies - www.hslforyou.lu. You can contact them directly for a consultation. They manage all stages of the recruitment process by filtering applications, conducting initial interviews and presenting you with a selection of the best candidates. You can then arrange interviews with those you prefer.

Joyser Services - This agency is located in Mersch. Using a form on their website state your preferences and they will contact you to set up an appointment.

Home Help - A platform where you can advertise for a nanny or search for one among the profiles listed.

Babysits - Here you can search for nannies by location. The website lists how many active nannies are currently registered and seeking employment. You can read reviews and see detailed profiles with member verifications. You can screen, interview and make your choices.

Adoméa Services - This agency proposes a service where a nanny can be shared and looks after the children of two families at the same time. It generally works by alternating at the homes of the different families, but can also take place at just one home. One advantage is the bill is divided by two!

Yoopies - By registering, you can search for nannies around Luxembourg. Profiles are listed on the website, and you can filter according to your needs and preferences. They take care of the contract, declarations and the state aids.