Nanny Tax Calculator 2026: Schedule H and State Tax
The short answer: for 2026, you owe Social Security and Medicare taxes (FICA) for a household employee if you pay that employee $3,000 or more in cash wages for the year. The $3,000 figure is a trigger, not a deductible: once it is reached, FICA applies to all cash wages from the first dollar. FICA is 7.65% for the employer and 7.65% for the employee (6.2% Social Security up to $184,500 of wages, plus 1.45% Medicare with no cap). Federal unemployment tax (FUTA) and state unemployment tax follow separate tests of their own. Source: IRS Publication 926 (2026).
This tool is for information only. It is not legal, tax, or financial advice. Verify current law with the official sources cited before acting.
California employers: the U.S. Department of Labor’s FUTA Credit Reductions page linked a final 2026 list on November 12, 2026, but the final California figure in that list had not been confirmed against the 2026 Schedule A (Form 940) in this check. California FUTA results below use the standard net rate of 0.6% and are provisional. Re-check the final figure against the Department of Labor determination and the 2026 Schedule A (Form 940) before filing.
Calculate your 2026 nanny taxes
This calculator covers one employee at a time. If you have more than one household employee, run it once for each employee's wages. FUTA and state wage bases apply per employee.
Your estimate
Enter wages and a state, then select Calculate. Results appear here.
Three separate tests, not one
Federal and state household taxes do not share a single threshold. A household can owe one tax and not another. This calculator tests each trigger on its own, using the inputs above.
| Test | What it measures | 2026 rule |
|---|---|---|
| FICA threshold | Annual cash wages, per employee | $3,000 or more: FICA applies to all cash wages from the first dollar. Below $3,000: no FICA for either party. |
| FUTA trigger | Total cash wages to all household employees combined, in any calendar quarter of 2025 or 2026 | $1,000 or more in any quarter: FUTA applies at a net 0.6% on the first $7,000 per employee (maximum $42.00), assuming the full state credit. |
| State unemployment (SUTA) threshold | Quarterly cash wages, rules vary by state | Verified household thresholds only for New York ($500 per quarter), California ($1,000 per quarter for tax; registration at $750), Massachusetts ($1,000 per quarter), and Georgia ($1,000 per quarter for domestic employers). Household thresholds for other states are unverified and are not assumed here. |
Note: the 2025 FICA threshold was $2,800. The 2026 threshold is $3,000. Any page showing $2,800 as the 2026 figure is out of date.
Family and age exemptions, explained
Wages paid to your spouse or to your child under age 21 do not count for federal FICA or FUTA at any wage level. Wages paid to your parent never count for FUTA. They count for FICA only under the narrow exception described in the form above: the parent cares for your child under 18 (or a person needing adult care), and you are divorced and unremarried, widowed, or living with a spouse who cannot care for the child.
An employee under age 18 is exempt from FICA unless household work is their principal occupation. A student is not in a principal occupation. FUTA still applies to under-18 employees even when FICA does not, so the calculator models that combination separately.
State treatment of family wages was not verified. Do not assume a federal exemption also removes state unemployment tax. Check with your state agency.
Filing deadlines for 2026 wages
| Form | Deadline | Notes |
|---|---|---|
| Form W-2 to the employee; W-2 and W-3 to the Social Security Administration | February 1, 2027 | January 31, 2027 is a Sunday, so the deadline moves to February 1. |
| Schedule H with Form 1040 | April 15, 2027 | Schedule H total is both FICA shares plus FUTA only. State tax is paid to the state separately. |
| State unemployment contributions | April 15, 2027, for the full FUTA credit | Contributions paid after that date earn only 90% of the otherwise allowable FUTA credit. This calculator assumes the full credit. |
Worked examples (2026)
Each example assumes one adult employee who is not a family member, all wages are cash wages, the employer withholds the employee's FICA share, state contributions are paid on time and in full, and the employer is a new employer with no experience rating. Income-tax withholding is excluded throughout.
Example A: $30,000 of wages in Texas
| Employer FICA (7.65% of $30,000) | $2,295.00 |
| FUTA, net (0.6% of the first $7,000) | $42.00 |
| Texas SUTA (2.70% of the first $9,000) | $243.00 |
| Total employer taxes | $2,580.00 |
| Total employer cost ($30,000 + $2,580.00) | $32,580.00 |
| Employee FICA withheld (7.65% of $30,000) | $2,295.00 |
| Schedule H federal total | $4,632.00 |
Example B: $30,000 of wages in New York
| Employer FICA (7.65% of $30,000) | $2,295.00 |
| FUTA, net (0.6% of the first $7,000) | $42.00 |
| New York SUTA (4.1% of the first $17,600) | $721.60 |
| Total employer taxes | $3,058.60 |
| Total employer cost ($30,000 + $3,058.60) | $33,058.60 |
| Schedule H federal total | $4,632.00 |
The same $30,000 nanny costs $478.60 more in employer taxes in New York than in Texas, entirely from state unemployment tax. A federal-only calculator misses that difference completely.
Example C: $2,900 of wages in New York, spread evenly ($725 per quarter)
| Employer FICA | $0.00 — below the $3,000 annual threshold |
| FUTA | $0.00 — no quarter reaches $1,000 |
| Schedule H federal total | $0.00 |
| New York SUTA (4.1% of $2,900) | $118.90 — the $500 quarterly state threshold is met every quarter |
| Total employer taxes | $118.90 |
Below the federal thresholds does not mean $0 in total. In New York, state tax is still owed. No $0 total is asserted for any other state here, because household state thresholds for other states were not verified.
What this calculator does not include
The estimate covers federal FICA, FUTA, and new-employer state unemployment tax for the verified states. It does not include:
- Federal income-tax withholding (not required for household employees; only by agreement with Form W-4).
- Employee-paid state items, such as California State Disability Insurance withholding (1.3%, employee-paid) and New Jersey employee unemployment contributions.
- State disability and paid family and medical leave taxes, including New Jersey Temporary Disability Insurance, whose household-employer applicability was not verified.
- Workers' compensation, state income-tax withholding, new-hire reporting, overtime rules, and minimum-wage checks.
- Experience-rated state rates. Results assume a new employer with no experience rating. If your state has assigned you a rate, use that rate.
For the full state table, caveats, and the list of states not yet verified, see nanny tax by state.
Frequently asked questions
When do I owe nanny taxes in 2026?
You owe Social Security and Medicare taxes (FICA) for a household employee if you pay that employee $3,000 or more in cash wages in 2026. You owe federal unemployment tax (FUTA) if you paid $1,000 or more in total cash wages to all household employees combined in any calendar quarter of 2025 or 2026. State unemployment tax has its own rules, which are different in each state, so each test must be checked separately.
How much is the nanny tax on $30,000 of wages?
On $30,000 of cash wages for one adult employee, the employer share of FICA is $2,295.00, FUTA is $42.00, and the employee share of FICA withheld from pay is $2,295.00, for a Schedule H federal total of $4,632.00. State unemployment tax is extra and depends on the state: $243.00 in Texas and $721.60 in New York at 2026 new-employer rates.
Who is exempt from nanny taxes?
Wages paid to your spouse or to your child under age 21 do not count for federal FICA or FUTA at any wage level. Wages paid to your parent never count for FUTA, and they count for FICA only under a narrow exception when the parent cares for your child under 18 and you are divorced and unremarried, widowed, or living with a spouse who cannot care for the child. An employee under 18 is exempt from FICA unless household work is their principal occupation, but FUTA still applies. State treatment of family wages was not verified, so check with your state agency before assuming a state exemption.
Do I have to withhold federal income tax from my nanny's pay?
No. Federal income tax withholding is not required for household employees. It applies only if the employee asks for it and you agree, using Form W-4. This calculator does not include income tax withholding, so take-home pay shown here is before any income tax.
What counts as cash wages?
Cash wages include cash, checks, money orders, direct deposits, and payment app transfers. Noncash items such as food, lodging, clothing, and transit passes do not count as cash wages for FICA and FUTA, but cash given in place of them does count. Enter cash wages only in this calculator.
How and when do I pay nanny taxes?
Report federal household employment taxes on Schedule H, filed with your Form 1040 by April 15, 2027. Give the employee a Form W-2, and file the W-2 and W-3 with the Social Security Administration, by February 1, 2027. State unemployment tax is paid to your state separately and is never part of the Schedule H total. To receive the full FUTA credit, pay all required 2026 state contributions by April 15, 2027.
Why does the calculator show no state tax for my state?
State unemployment rates and wage bases are verified here for 10 states only. For the other 40 states and the District of Columbia, no rate was verified from an official state source, so the calculator shows the federal-only result and no state number rather than guessing. Check your state workforce or unemployment agency for your rate and wage base.
Why is the California FUTA figure marked provisional?
The U.S. Department of Labor’s FUTA Credit Reductions page linked a final 2026 list on November 12, 2026, but the final California figure in that list had not been confirmed against the 2026 Schedule A (Form 940) in this check. The calculator therefore uses the standard net FUTA rate of 0.6 percent and marks the result provisional. Re-check the final figure against the Department of Labor determination and the 2026 Schedule A (Form 940) before filing.
Sources
- IRS Publication 926 (2026), Household Employer's Tax Guide — irs.gov/publications/p926 — accessed November 12, 2026. All federal figures on this page.
- IRS Topic No. 756, Employment Taxes for Household Employees — irs.gov/taxtopics/tc756 — accessed November 12, 2026.
- IRS 2025 Instructions for Schedule H (Form 1040) — irs.gov/pub/irs-pdf/i1040sh.pdf — accessed November 12, 2026. 2025 threshold ($2,800) comparison only.
- California EDD, 2026 Household Employer's Guide (DE 8829) — edd.ca.gov — DE 8829 (PDF) — accessed November 12, 2026.
- California EDD, Contribution Rates / Rates and Withholding — edd.ca.gov/en/payroll_taxes/rates_and_withholding — accessed November 12, 2026.
- California EDD, Am I Required to Register as an Employer? — edd.ca.gov — employer registration — accessed November 12, 2026.
- New York DOL, Unemployment Insurance Rate Information — dol.ny.gov/unemployment-insurance-rate-information — accessed November 12, 2026.
- New York DOL, Household Employers Guide (IA 318D, 06/26) — forms.labor.ny.gov — IA 318D (PDF) — accessed November 12, 2026.
- New York DOL, Who Is an Employer? — dol.ny.gov/who-employer — accessed November 12, 2026.
- Texas Workforce Commission, Unemployment Insurance Tax Rates — twc.texas.gov — tax rates — accessed November 12, 2026.
- Texas Workforce Commission, Your 2026 Tax Rates — twc.texas.gov — your 2026 tax rates — accessed November 12, 2026.
- Florida Dept. of Revenue, Reemployment Tax Rate Information — floridarevenue.com — reemployment tax rates — accessed November 12, 2026.
- Illinois IDES, 2026 State Experience Factor and Employers' UI Contribution Rates (EA-50) — ides.illinois.gov — EA-50 2026 (PDF) — accessed November 12, 2026.
- Illinois IDES, Historical Rate Chart 2026 — ides.illinois.gov — UI tax rates 2026 (PDF) — accessed November 12, 2026.
- New Jersey DOL, Division of Employer Accounts — Rate Information — nj.gov/labor — rate information — accessed November 12, 2026. Both fiscal years spanning calendar 2026 confirmed at the same new-employer rate, November 12, 2026; see the New Jersey note.
- Massachusetts DUA / Mass.gov, Employer Contributions to Unemployment — mass.gov — employer contributions to unemployment — accessed November 12, 2026.
- Massachusetts General Laws, c. 151A, §14(a)(4) ($15,000 wage base) — malegislature.gov — chapter 151A, section 14 — accessed November 12, 2026.
- Massachusetts General Laws, c. 151A, §14L (Workforce Training Fund contribution of 0.056%, payable in addition to the section 14 contribution) — malegislature.gov — chapter 151A, section 14L — accessed November 12, 2026.
- Massachusetts DUA, The Employer’s Guide to Unemployment Insurance (Workforce Training Fund contribution is a flat 0.056% of taxable wages, the same for all contributory employers) — mass.gov — employer’s guide (PDF) — accessed November 12, 2026.
- Massachusetts DUA, COVID-19 Recovery Assessment rates (new employers under 3 years are exempt) — mass.gov — COVID-19 Recovery Assessment rates — accessed November 12, 2026.
- Washington ESD, How We Determine Tax Rates — esd.wa.gov — how we determine tax rates — accessed November 12, 2026.
- Washington ESD, average-wage release (2026 wage base $78,200) — esd.wa.gov — 2025 news release — accessed November 12, 2026.
- Virginia Employment Commission, FAQ — vec.virginia.gov — general questions FAQ — accessed November 12, 2026. Base rate only; all-in rate unverified (re-checked November 12, 2026).
- Code of Virginia, §60.2-229(B)(1) ($8,000 wage base) — law.lis.virginia.gov — §60.2-229 — accessed November 12, 2026.
- Code of Virginia, §§60.2-526 (new-employer rate 2.5%) and 60.2-532 (pool cost charge added to assigned rates) — law.lis.virginia.gov — computation of tax rate — accessed November 12, 2026.
- Virginia Employment Commission, What factors determine my tax rate? (pool cost charge; 0.2% fund building charge when the trust fund balance is 50% or less; no 2026 values stated) — vec.virginia.gov — tax rate factors — accessed November 12, 2026.
- Georgia Dept. of Labor, Employers FAQs — Unemployment Insurance — dol.georgia.gov — employers FAQs — re-read November 12, 2026. Page undated and still contains a superseded $8,500 sentence; the $9,500 base and 2.70% total were re-confirmed on that date.
- Georgia Dept. of Labor, File Tax and Wage Reports and Make Payments (updated September 26, 2024; taxes due only on the first $9,500 per employee per year) — dol.georgia.gov — file tax and wage reports — accessed November 12, 2026.
- U.S. Department of Labor, Employment and Training Administration, FUTA Credit Reductions — oui.doleta.gov — FUTA credit reductions — accessed November 12, 2026. Page linked a final 2026 list on that date; the final California figure was not confirmed against the 2026 Schedule A in this check.
California FUTA credit reduction: the U.S. Department of Labor’s FUTA Credit Reductions page linked a final 2026 list on November 12, 2026; the final California figure in that list was not confirmed against the 2026 Schedule A (Form 940) in this check. Re-check the Department of Labor determination and the 2026 Schedule A (Form 940) before filing. No credit-reduction figure is stated on this page.
Rates and rules verified November 12, 2026 from official sources. This calculator covers the 2026 tax year only.