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Domestic Help and Nanny Costs in South Africa: Wages, UIF, COID and the Paperwork Most Households Skip

By The Expat Club · Updated October 2026

Expect to pay around R6,000 to R9,000 a month for a full-time live-out domestic worker and around R6,500 to R12,000 or more for a nanny, as a rough 2026 guide. The legal minimum is R30.23 an hour, and you also register as an employer for UIF (once a worker passes 24 hours a month) and with the Compensation Fund (COID).

Domestic help and a nanny are within reach for most expat households in South Africa in a way they simply aren't back home. That's real, and it's one of the quality-of-life upsides people mention most. What catches new arrivals out is less the wage than the legal side: hiring someone to work in your home makes you an employer under South African law, with registrations and paperwork to match.

What you'll pay in 2026

Rates vary by city, hours, live-in vs live-out, and whether the role is cleaning, childcare, or both, but here's a rough guide for October 2026, drawn from published salary guides and recruitment listings.

Cape Town's Atlantic Seaboard and southern suburbs, and Johannesburg's northern suburbs, tend to sit at the top of these ranges; smaller towns and less central suburbs sit lower. Treat any figure you're quoted as a starting point for negotiation rather than a fixed price: experience, references, driving ability and specific childcare qualifications all move the number.

The legal minimum wage, and why it's rarely the finish line

From 1 March 2026, South Africa's national minimum wage is R30.23 an hour, up from R28.79 the year before. Domestic workers are covered by the same national minimum wage as every other sector; there is no separate, lower rate for domestic work any more. The BCEA caps ordinary hours at 45 a week and the minimum is paid per hour worked, so a full 45-hour week comes to roughly R5,895 a month before any UIF deduction. If you agree a shorter week, the floor shrinks with it (about R5,240 a month for 40 hours).

That's the legal minimum, not the market rate. As the table above shows, most households in the main cities pay meaningfully more, particularly for someone with childcare experience, a driver's licence, or several years with a previous family. Paying only the statutory minimum for an experienced nanny is a fast way to lose her to a better offer.

UIF: the registration many households skip

If your domestic worker or nanny works for you more than 24 hours a month (which covers virtually every full-time or several-days-a-week arrangement) you're required to register both yourself and your worker for UIF (Unemployment Insurance Fund) contributions. This is separate from, and in addition to, whatever you agree as a wage.

• Get a UIF reference number first, by phone, email, post or at a Labour Centre. Then register on uFiling at ufiling.labour.gov.za, where you'll need that number, your ID number (foreign employers use a passport number), an email address, the bank account the contributions will come from, and your worker's ID number and employment details.
• Contribute 1% of the monthly wage yourself, and deduct a further 1% from your worker's wage, 2% combined.
• Pay the combined amount over by the 7th of each month via uFiling.
• Contributions are calculated on a salary ceiling of R17,712 a month, unchanged since 1 June 2021. That's well above typical domestic pay, so it rarely matters, but it caps the contribution at R177.12 a month per side for anyone earning more.

Workers doing 24 hours a month or less (say, one day a week) are exempt from UIF, though the minimum wage still applies to their hours.

COID: compulsory since 2021, still widely ignored

Separately from UIF, since 10 March 2021 every household that employs a domestic worker, nanny, gardener, driver or caregiver has been legally required to register with the Compensation Fund under the Compensation for Occupational Injuries and Diseases Act (COIDA). This is workers' compensation cover: it pays out if your employee is injured or falls ill because of their work in your home.

The practical requirements for 2026: a small annual assessment fee (a minimum of roughly R560 for a household employer), and an annual Return of Earnings declaration, typically due by 30 June. Missing the deadline can trigger a penalty. Skipping registration altogether can bring penalties, and (more to the point for most households) it leaves you personally liable for the cost of treating an injury or illness your worker suffers on the job, with no fund to fall back on.

Anecdotally, this is the compliance step most South African households still haven't done, expats included, simply because it's newer than UIF and less widely publicised. It's worth doing properly rather than assuming a domestic worker "isn't really an employee". Legally, she is.

Leave, notice and a written contract

Domestic workers are covered by the Basic Conditions of Employment Act, and are legally entitled to:

• Annual leave: three weeks' paid leave per 12 months worked (pro-rated if they've worked less than a full year).
• Sick leave: roughly six weeks paid over a three-year cycle, accrued at one day per 26 days worked during the first six months. You can ask for a medical certificate if the worker is off for more than two days in a row, or on a third occasion within eight weeks.
• Notice of termination: one week if employed six months or less; four weeks once they've worked for you longer than that. Notice should be given in writing.
• Written particulars of employment: when the worker starts, you must give them a written statement of their hours, wage, duties, leave, deductions and notice period, whatever you pay. A signed contract covering the same points is the simplest way to do it.
• A payslip on every payday: a written record of the pay period, the wage, any deductions (such as the UIF 1%) and the amount paid.

Income tax is the other thing to check. For the 2026/27 tax year, SARS's threshold for someone under 65 is R99,000 a year, about R8,250 a month, for a worker doing 22 hours a week or more for one employer. Many cleaners and some full-time domestic workers earn less than that, but a well-paid nanny may not. If your worker earns more, you need to register with SARS as an employer and deduct PAYE. Part-time arrangements are tested differently, so check with SARS. UIF, COID and written particulars apply however much or little you pay.

Hiring through an agency vs. finding someone yourself

Word of mouth (a friend's outgoing nanny, a recommendation in a local Facebook or WhatsApp group) is how most expats find domestic help, and it's usually cheaper and comes with a built-in reference. The trade-off is that vetting (references, ID and background checks, a police clearance) is entirely on you.

Nanny and domestic-placement agencies exist in every major city and typically charge a once-off placement fee in exchange for pre-vetted candidates, reference checks and help matching experience to your needs. Fee structures vary a lot between agencies, so get the exact terms in writing before you commit, including what happens if the placement doesn't work out in the first few weeks.

Either way, budget time for a proper trial period and put a written contract in place from day one. It protects both of you, and it's the same document you'll need on hand if a labour dispute or a COID claim ever arises.

Getting it right

The numbers above are a starting map for 2026, not a substitute for checking the current rate and rules directly. The national minimum wage is reviewed annually, and the UIF and COID limits and penalties change too. Before you make an offer, confirm the current minimum wage on the Department of Employment and Labour's site, and register for UIF and COID as soon as you take someone on, not after something goes wrong.

Frequently asked questions

General information only, not tax/financial/medical advice, confirm current rules and consult a qualified professional.