How to Set Up a Nanny Contract That Covers Everything
Hiring a nanny brings freedom and balance to family life — but before they start, it’s vital to have a clear written agreement in place.
A good nanny contract protects both you and your nanny, sets expectations from day one, and keeps you compliant with UK employment law.
This guide explains what every nanny contract template UK should include and how to make sure nothing important is missed.
1. Why a Written Nanny Contract Matters
Under UK law, anyone classed as an employee must receive a written statement of employment within two months of starting work.
A proper nanny contract:
Prevents misunderstandings about hours or pay
Protects you from disputes
Helps your nanny feel secure and respected
Keeps you compliant with HMRC and employment regulations
2. Key Sections Every Nanny Contract Should Include
Whether you write your own or use a nanny contract template UK, make sure these essentials are covered:
1️⃣ Job Details – Job title, start date, place of work, and who the nanny reports to.
2️⃣ Hours of Work – Weekly schedule, overtime rules, and flexibility expectations.
3️⃣ Pay and Payroll – Gross hourly or monthly rate, when it’s paid, and confirmation that it goes through PAYE (never cash-in-hand).
4️⃣ Holiday and Leave – Minimum 5.6 weeks’ paid holiday, bank holiday arrangements, and how to request leave.
5️⃣ Sickness and Absence – How to report sickness and entitlement to Statutory Sick Pay.
6️⃣ Pension Contributions – Explain automatic enrolment if they earn over £10,000 per year.
7️⃣ Termination – Notice period and circumstances for ending the contract.
8️⃣ Confidentiality & Privacy – Remind both parties to respect the family’s privacy and data protection.
3. Optional Clauses to Personalise Your Contract
Every family’s situation is different.
You may also want to include:
Travel or mileage reimbursements
Use of car, phone, or household equipment
Additional childcare duties (school runs, cooking, light housework)
House rules (screen time, visitors, diet)
These small details make a contract feel clear, not controlling.
4. Using a Template vs. Creating Your Own
You can find free nanny contract templates (UK) online, but many miss crucial legal or payroll details.
If you’re handling payroll yourself, ensure your contract matches what’s being reported to HMRC — hours, pay dates, and gross wages should align exactly.
Hirelo offers compliant templates that include payroll wording and digital signing options, saving you time and paperwork.
5. Reviewing and Updating Your Contract
Review your contract once a year or whenever circumstances change — for example, pay increases, new hours, or pension thresholds.
Update both copies, have them signed again, and keep a record for your payroll files.
Final Thoughts
A well-written nanny contract sets the tone for a professional, trusting relationship.
It protects everyone involved and gives you confidence that your home employment is structured properly from the start.
And if you’d rather not handle the legal admin yourself, Hirelo can supply ready-to-use nanny contract templates UK that meet HMRC and employment standards.