Daycare vs. Nanny in Los Angeles, CA: The Full Cost Picture
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For most families with one child, a daycare center in Los Angeles, CA costs less. Full-time infant center care runs $1,890/month. A live-out nanny costs $4,700/month once you account for employer payroll taxes. That gap compounds over a year to $33,720.
The break-even shifts with two children. Two toddler daycare spots in Los Angeles, CA total $3,320/month. One nanny watching both: $4,700/month. Daycare still wins, but the gap narrows to $1,380/month. Three children and the nanny is almost certainly the cheaper option.
Employer Costs You Can't Skip in CA
Hiring a nanny makes you a household employer. You pay employer Social Security and Medicare (7.65% of wages), federal unemployment tax (0.6% on the first $7,000), and CA workers' compensation insurance. Total employer overhead: 10–15% above take-home pay. On a $4,200/month nanny, that's $500/month in additional employer costs.
Nanny Share Option in Los Angeles, CA
A nanny share — two families splitting one nanny — cuts costs to roughly $2,820–$3,060/month per family while the nanny earns more than a typical single-family placement. Works best with children of similar ages and compatible schedules. Coordination takes effort; savings are real.