Whether you're new to hiring nannies or have been employing them for years, we wanted to give you a helping hand when it comes to understanding your Koru Kids invoice.
Your invoice will separate your base charge into two parts:
"Direct cost of nanny compensation"
"Other employment costs"
Together, these two charges equal the hourly rate you pay to Koru Kids, multiplied by the number of hours worked (including any minimum hours).
Direct cost of nanny compensation:
This is your nanny's gross salary for the month.
This includes your nanny's holiday pay. You can find more about our approach to holiday pay here.
Childcare costs aren't subject to VAT.
Other employment costs:
These are the other costs related to your nanny's employment. This includes your nanny's public liability insurance, all our payroll and administration services, your registration with HMRC as an employer, your nanny's DBS and training, ongoing support for the duration of your arrangement, and our service fee.
All of the above is included in the hourly rate you pay to Koru Kids - this is not an additional charge.
As these aren't direct costs of childcare, these charges are subject to VAT at 20%.
Your invoice may also include National Insurance or Pension contributions, if your nanny meets the threshold. These costs aren't subject to VAT, which is why they appear separately in your invoice.
Invoice Walkthrough:
We've created a helpful walk-through that covers 5 things you will find on your nanny's invoice.
The guide covers the following:
Minimum hour top-ups
Set-up fees
Receiving an invoice after paying your advance payment
Our pay cycle
Your payroll code
You can find the detailed explanations and examples of these key invoice elements in our comprehensive walk-through guide below.
We hope you find this resource useful and that it helps you to better understand your invoice.
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