Every family is different, and choosing between in-home nanny care or a daycare centre depends on your child’s needs, your work schedule, and what you value most - cost, flexibility, or personalisation.
In 2025, Australian families are facing rising childcare costs, increased workplace flexibility, and a greater focus on personalised care. That makes this decision more important than ever.
Let’s look at the facts.
Daycare Fees (2025)
According to the Australian Government’s Starting Blocks website:
Nanny Costs (2025)
For an up to date breakdown on the current hourly averages, check out our annual pay guidance here.
Example Weekly Cost (One Child, 40 hours per week)
Best for budget-conscious families with one child: Daycare
Best for multiple children or flexible care needs: Nanny
Best for flexibility and home-based convenience: Nanny
Daycare Pros
Nanny Pros
Considerations
Some families use both daycare and a nanny in a split arrangement to get the best of both.
Daycare
Nanny
Pay The Nanny tip: If you hire a nanny, you are an employer. This means handling tax, super, and leave entitlements, unless you use a provider like Pay The Nanny.
Daycare
Nanny
Best for babies or children with sensitive immune systems: Nanny Best for building social confidence and peer learning: Daycare
If you are considering hiring a nanny, here are some great agencies to explore:
3. Rock my Baby
4. Sydney Nanny
5. Mothercraft
These agencies can help you find a vetted, experienced nanny and work alongside services like Pay The Nanny to handle all the paperwork.
There’s no one-size-fits-all solution. The right choice depends on your budget, your child’s needs, and your family’s schedule. For families needing flexibility, home-based care, or support with multiple children, a nanny is often the better choice. If affordability, structure, and peer interaction are more important, daycare might be the way to go.
And if you do go down the nanny route, Pay The Nanny can take care of all the admin. We handle tax, super, payroll, and compliance, giving you peace of mind and time back with your family.
Let Pay The Nanny take care of the paperwork so you can focus on your child. Learn more