Nanny vs Infant Care in Singapore: Cost, Pros & Cons Compared

When our maternity leave was ending, my husband and I had the same argument every night for two weeks: should we hire a helper or put the baby in infant care? He wanted the flexibility of a nanny. I wanted the structure (and the socialisation) of a centre. In the end, we went with infant care — and then hired a helper six months later when baby number two came along. There is no universally right answer here, only what works for your family right now.

If you're in the middle of this debate, here's the honest breakdown with real 2026 numbers.

> TL;DR: Infant care centres cost $600–$1,700/month after subsidies (depending on operator and income), while a full-time nanny (foreign domestic worker) runs $1,400–$1,800/month all-in with no government subsidy. Infant care offers socialisation and structured learning; a nanny offers flexibility and one-on-one attention. Many families use a hybrid approach.

What Infant Care Actually Costs After Subsidies

Infant care ranges from $1,300 to $2,500/month before subsidies. The government subsidies change the picture dramatically.

Fees before subsidies by operator type:
• Anchor operators (PCF, NTUC My First Skool): $1,310–$1,414
• Partner operators: $1,400–$1,800
• Private/commercial centres: $1,800–$2,500+

Government subsidies:
• Basic Subsidy: Up to $600/month (for working mothers)
• Additional Subsidy: Up to $710/month (income-tested, for households earning $12,000/month or below)

So a dual-income family at an anchor operator could pay as little as $200–$400/month after maximum subsidies. Middle-income families ($8,000–$12,000 household income) typically pay $700–$1,000/month.

These subsidies are part of the broader government grants for new parents — make sure you're claiming everything.

What a Nanny Actually Costs

When Singaporeans say "nanny," we usually mean a live-in foreign domestic worker (FDW) whose main job is looking after the baby. Here's the real monthly cost:

• Salary: $800–$1,200
• MOM levy (concessionary rate, child under 16): $60
• Food and daily expenses: $200–$350
• Insurance (annual, amortised): $30–$50
• Agency fee (amortised over contract): $50–$100
• Total: $1,140–$1,760/month

The concessionary levy of $60/month applies if you have a child under 16. Without it, the levy jumps to $300. And here's the kicker: there are no government subsidies for hiring a nanny. Unlike infant care, where subsidies can slash your bill by more than half, the nanny cost is entirely on you.

Part-time nannies or babysitters charge $15–$25/hour, but that's not a full-time childcare solution.

The Honest Pros and Cons

Why Some Families Swear by a Nanny

• One-on-one attention — your baby gets dedicated care all day long
• Total flexibility — no fixed drop-off times, works around irregular schedules
• Household help included — most FDWs handle cooking, cleaning, and laundry too
• No sick-day scramble — baby has a cold? No need to keep them home from care
• Your baby's rhythm — feeds, naps, and play follow what works for your child
• Great if you have flexible work arrangements and are partially home

The Downsides of a Nanny

• Zero subsidies — you bear the full cost
• Variable quality — training varies widely, no standardised curriculum
• Limited socialisation — your baby doesn't regularly interact with other kids
• You're an employer — managing leave, medical issues, and disputes falls on you
• Single point of failure — if your helper leaves suddenly, you have no immediate backup
• Less oversight — you're trusting one person unsupervised with your infant

Why Infant Care Centres Work

• Massive subsidies — government covers a big chunk of the cost
• Structured programme — ECDA-regulated curriculum supporting early development
• Socialisation — babies interact with peers from an early age
• Professional caregivers — trained educators with certifications
• Reliability — centres don't take MC or resign unexpectedly
• Continuity — many centres offer infant-to-childcare pathways up to age 6

The Downsides of a Centre

• Fixed hours — typically 7am to 7pm, no good for shift workers
• Frequent illness — babies in group settings catch more bugs, especially in the first 6 months. We went through a stretch where our daughter was sick every other week. It was brutal.
• Waitlists — popular anchor operators can have 3 to 12-month waits
• Ratio concerns — 1 caregiver to 5 infants means less individual attention
• Rigid schedules — nap and feed times are standardised, not personalised
• No household help — you still need to handle everything at home

The Hybrid Approach (What Many Families Actually Do)

Plenty of Singapore families combine both: a helper at home who also handles infant care centre drop-off and pick-up. Pricier (you're paying for both), but some parents find the peace of mind worth it — especially when both parents have demanding careers.

Another common pattern: nanny for the first 6-12 months (when babies are most vulnerable to infections), then transition to infant care once the child is older and their immune system is stronger. This is what we ended up doing with our second kid, and it was the right call for us.

Questions to Ask Yourself

Before picking sides:

1. What's your household income? If you qualify for high subsidies, infant care wins on cost — significantly. 2. How important is socialisation? If early peer interaction matters to you, a centre has a clear edge. 3. What are your work hours? Irregular schedules or late nights favour a nanny's flexibility. 4. Do you need help at home? A nanny pulls double duty. An infant care centre doesn't fold your laundry. 5. What's your backup plan? Centres are reliable day-to-day. A single nanny is a single point of failure. 6. Any health concerns? Premie babies or kids with medical conditions may do better with the lower infection risk of home care initially.

Think about the overall cost of raising your child — childcare is the single biggest expense in the early years, and your choice now sets the pattern for the next few years.

Making Either Option Work

If you go with a nanny:
• Write a daily schedule and duties list from day one — assumptions cause conflict
• Set up a baby monitor or camera (with the helper's knowledge)
• Hire someone with infant care experience specifically, not just general household work
• Build a backup plan (family member, emergency babysitter) for when your nanny is on leave

If you go with infant care:
• Register early — even during pregnancy for popular centres
• Visit at least 3 centres during actual care hours, not just during the sales tour
• Ask about their sick child policy and caregiver turnover rate
• Budget for the adjustment period where you might need to pick up early
• Consider centres near your workplace, not just near home — saves commuting stress at drop-off

Don't Forget: Tax and CPF Considerations

The Foreign Domestic Worker Levy Relief gives working mothers tax relief on the FDW levy. Infant care fees can't be paid from CPF, but the savings from subsidies free up cash for other priorities like education savings.

Make sure you've maxed out your Baby Bonus and CDA benefits — that $5,000 CDA First Step Grant can go toward either childcare option.

The Bottom Line

There's no universally "better" choice between nanny and infant care in Singapore — only what's better for your family right now. If subsidies make infant care affordable and you value structured learning, a centre is hard to beat on value. If you need flexibility, household help, and one-on-one care, a nanny is the practical choice despite costing more.

Your needs will change. What works at 2 months might not work at 12 months. Give yourself permission to reassess as your family grows.

For more practical guides on navigating parenthood — from finances to finding the right preschool later on — ParentLah is here to help you figure it out, one decision at a time.

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Sources

1. ECDA – Child Care Subsidies 2. MOM – Foreign Domestic Worker Levy 3. MSF – Baby Bonus Scheme 4. ECDA – Infant Care and Child Care Centres 5. IRAS – Foreign Maid Levy Relief