Your confinement nanny's salary is taxable

Salary received as a confinement nanny in Singapore is taxable. MOM says this directly on its confinement nanny Work Permit pages, and IRAS says a Work Permit holder working as a confinement nanny should declare that salary as employment income.

That does not mean the family needs to become the nanny's tax adviser. It does mean the payment should be recorded clearly, and nobody should treat the arrangement as "cash, so it does not count."

What MOM Says

MOM's key facts page says the Work Permit for a confinement nanny is for Malaysians employed as confinement nannies in Singapore. On the same page, MOM states that there is no minimum qualifying salary for the permit, and notes that salary received as a confinement nanny is taxable.

MOM's application page repeats the same tax point. It also states that the employer or appointed employment agency can apply for the Work Permit, and that the maximum validity of the permit is 16 weeks from the child's date of birth.

For families, the practical meaning is simple: the nanny's salary is still income. A direct arrangement, a short 28-day booking, or a payment made by bank transfer instead of an agency invoice does not make the income disappear.

What IRAS Says

IRAS has a specific FAQ for confinement nannies on its individual income tax filing page.

IRAS says that if a person holds a Work Permit to work as a confinement nanny in Singapore, she should declare her salary as employment income. If she did not receive a filing notification, IRAS says she should contact IRAS through myTax Portal using Singpass or Singpass Foreign user Account.

IRAS lists the information the nanny should provide:

• a copy of the Work Permit letter issued by MOM
• mailing address
• validity period of the latest Singapore work pass
• total number of days physically present in Singapore in the preceding year
• total income in the preceding year
• departure or expected departure date from Singapore

IRAS also says that if employment in Singapore has ceased, the nanny should provide information for the preceding year and the year employment ceased. The example given is a nanny who worked from June 2025 until August 2026, where the relevant periods are June to December 2025 and January to August 2026.

This is why record-keeping matters even though confinement care is short-term.

What The Family Should Record

The family should keep the payment record clean from day one.

At minimum, record:

• agreed salary or service fee
• deposit amount, if any
• payment dates
• payment method
• extra-day rate, if any
• reimbursed expenses, kept separate from salary
• Work Permit validity period
• actual start and end dates
• cancellation date if the nanny leaves early

The family should also keep the Work Permit letter and any written agreement in the same folder. If the nanny later needs to report her income, she may need details that are easiest to confirm while the booking is fresh.

This does not require a complicated payroll system. A signed agreement, bank transfer references, and a clear payment summary are usually more useful than scattered chat messages.

Keep Salary Separate From Expenses

Do not mix salary and reimbursement into one vague number.

The nanny's agreed service fee is income. Separately, the family may reimburse groceries, transport, herbs, or other household expenses if that was agreed. Keeping these separate helps both sides understand what was paid for work and what was paid back as an expense.

This also reduces future confusion. If the nanny needs to state her total income, a clean payment record is easier to read. If the family needs to explain what was paid, a clear record avoids guessing.

Avoid phrases like "all-in cash" unless the actual meaning is written down. If the amount includes salary plus transport plus other items, list the parts.

Write The Tax Point Into The Agreement

The direct agreement does not need a tax-law section. It only needs a practical line.

For example:

Salary received as a confinement nanny in Singapore is taxable. The nanny is responsible for making any required tax filing or declaration to IRAS. The family and nanny will keep records of agreed fees, payment dates, Work Permit period and actual work period.

That is enough for most direct arrangements. The agreement should not calculate the nanny's personal tax, decide her residency status, or tell her what she owes. Those are personal tax matters.

If the nanny asks for tax help, point her to IRAS. If the family is unsure about its own obligations, get proper tax advice.

Do Not Treat Agency And Direct Hiring Differently

The tax fact does not turn on whether an agency introduced the nanny.

MOM's Work Permit page says the employer or appointed employment agency can apply for the permit. IRAS's confinement nanny FAQ focuses on the nanny's salary and filing. The income is still income whether the arrangement came through an agency, a referral, or a direct family-nanny agreement.

The difference is operational. In an agency arrangement, more documents may be bundled into an agency process. In a direct arrangement, the family and nanny need to keep their own records.

This is another reason to use a written agreement and a daily record. The direct agreement checklist helps settle the fee structure before the nanny arrives. The guide on what to document from day one explains how to keep the month readable if dates, scope, or payments change.

The Short Checklist

Before the nanny starts, write down:

• the agreed salary
• what is included in that salary
• what is reimbursed separately
• when each payment is due
• how payment will be made
• who keeps the Work Permit documents
• the actual start date
• the agreed end date

During the month, keep:

• payment confirmations
• any extra-day agreement
• any scope change that affects money
• any early-end or cancellation note
• permit and visit-pass dates

After the month, keep:

• final payment confirmation
• actual end date
• Work Permit cancellation record where applicable
• any payment summary shared with the nanny

The Singapore MOM checklist is the right companion page for the permit steps. This article covers the tax record, not the whole Work Permit process.

How BulanBloom Thinks About This

BulanBloom treats this as a clarity issue. Families should not need to become tax experts to hire confinement care, but they should know that the salary is taxable and that payment records matter.

BulanBloom is a platform, not an employment agency. Families and nannies contract directly with each other, and BulanBloom is not a party to that agreement. This article is general information for Singapore families, not legal or tax advice.