I have two stepdaughters and they are both in elementary school. They have a Nanny who watches them after school from 3:30pm to 7:00pm 4 days per week (DH's Mom watches them on the 5th day). Their Nanny makes $12/hr.

We are trying to figure out whether it would make more sense financially to put the new baby in daycare or to just hire a Nanny who care work the entire day for all 3 kids. It would probably not be our current Nanny just because of her availability.

My question is basically how much the number of children factors into how much people are paying their nannies? Do you think it would be typical to pay someone like this the same dollar amount for every hour of the day, whether all 3 kids are home or not? Should she make more for the hours when all 3 kids are home? If so, how much more?