Nanny Tax by State 2026: State Unemployment Rates
The short answer: federal nanny taxes are the same in every state, but state unemployment tax (SUTA) is not. At 2026 new-employer rates, the maximum state tax per employee ranges from $189.00 in Florida to $1,254.40 in New Jersey among the states verified here. Eight states have a verified rate and wage base on this page; Washington and Virginia need special handling; the other 40 states and the District of Columbia are not yet verified, and no rate is guessed for them.
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. Any California FUTA total is provisional at the standard net rate of 0.6% until the final determination and the 2026 Schedule A (Form 940) are checked. The California state figures in the table below are verified; only the federal FUTA credit reduction is pending confirmation.
To calculate your own total, including the federal Schedule H figure, use the nanny tax calculator.
Verified 2026 state unemployment rates for new household employers
All figures are employer-paid state unemployment insurance at the new-employer rate. "Maximum" means the rate multiplied by the wage base, per employee per year. State tax is paid to the state separately and is never part of the Schedule H federal total.
| State | 2026 new-employer rate | Taxable wage base | Maximum SUTA per employee | Household threshold and caveats |
|---|---|---|---|---|
| California | 3.4% unemployment insurance + 0.1% Employment Training Tax (ETT) | $7,000 | $245.00 ($238.00 + $7.00 ETT) | Register at $750 or more in a quarter; tax owed at $1,000 or more in a quarter, continuing through the following year once triggered. Employee-paid State Disability Insurance (1.3%) is separate and not included here. FUTA provisional — see the warning above. |
| New York | 4.1% total (4.025% unemployment insurance + 0.075% Re-employment Services Fund) | $17,600 | $721.60 | Household threshold: $500 or more in a calendar quarter. This is lower than the federal FUTA trigger, so New York state tax can be owed when no federal tax is owed. |
| Texas | 2.70% entry-level | $9,000 | $243.00 | Household coverage threshold unverified. Do not assume a general-employer threshold applies to household employers. |
| Florida | 2.7% for the first 10 quarters (reemployment tax) | $7,000 | $189.00 | Household coverage threshold unverified. |
| Illinois | 3.350% entry rate, including a 0.550% Fund Building Rate | $14,250 | $477.38 | Household coverage threshold unverified. A different rate (3.45%) applies to NAICS sector 56; household employers use the entry rate shown here. |
| New Jersey | 2.80% total (2.6825% unemployment insurance + 0.1175% Workforce Development / Supplemental Workforce Funds) | $44,800 | $1,254.40 | Rates are assigned by fiscal year (July 1 to June 30); the 2.80% new-employer total is the same in both fiscal years spanning calendar 2026, confirmed November 12, 2026. Household coverage threshold unverified. Temporary Disability Insurance and employee contributions are excluded. |
| Massachusetts | 2.476% total: 2.42% unemployment insurance + 0.056% Workforce Training Fund contribution (registered less than 3 years) | $15,000 | $371.40 ($363.00 + $8.40) | Household threshold: $1,000 or more in cash wages to domestic workers in any quarter. New employers (less than 3 years) are exempt from the COVID-19 Recovery Assessment. |
| Georgia | 2.70% total (2.64% unemployment insurance + 0.06% administrative assessment) | $9,500 | $256.50 | Household threshold: $1,000 or more in a calendar quarter for domestic employers. Source FAQ page is undated and contains a superseded $8,500 sentence; the $9,500 base was re-confirmed November 12, 2026. |
| Washington (special handling) | No single rate: 115% of the average rate for all businesses in the employer's industry, subject to a 1.0% minimum | $78,200 | Cannot be stated. Floor illustration: $782.00 at the 1.0% minimum on the full wage base; actual cost depends on the assigned rate and will be higher. | Household coverage threshold unverified. In the calculator, enter your assigned rate or use the labeled 1.0% floor. No Washington rate is invented here. |
| Virginia (partially verified) | 2.5% base rate only, plus add-ons | $8,000 | $200.00 at the base rate only | Base rate and $8,000 wage base confirmed from the Code of Virginia, November 12, 2026; all-in rate still unverified — add-ons per your Virginia Employment Commission rate notice are not included. Household coverage threshold unverified. |
Excluded from every row above: experience-rated rates, employee-paid unemployment contributions, disability and paid family leave taxes, workers' compensation, and state income-tax withholding. Those are additional costs where they apply, and they were not verified for household employers in this table.
States not yet verified
No 2026 new-employer SUTA rate or wage base was verified from an official state source for the following 40 states and the District of Columbia. This page shows no figures for them, and the calculator returns a federal-only result for them, rather than repeating an unverified compilation. Check your state workforce or unemployment agency directly.
Alabama, Alaska, Arizona, Arkansas, Colorado, Connecticut, Delaware, Hawaii, Idaho, Indiana, Iowa, Kansas, Kentucky, Louisiana, Maine, Maryland, Michigan, Minnesota, Mississippi, Missouri, Montana, Nebraska, Nevada, New Hampshire, New Mexico, North Carolina, North Dakota, Ohio, Oklahoma, Oregon, Pennsylvania, Rhode Island, South Carolina, South Dakota, Tennessee, Utah, Vermont, West Virginia, Wisconsin, Wyoming, and the District of Columbia.
Federal rules: the same in every state
Federal household employment taxes come from IRS Publication 926 (2026). They apply on top of any state tax, and each test below is separate.
| Rule | 2026 figure | How it works |
|---|---|---|
| FICA cash-wage threshold | $3,000 per employee per year | A trigger, not a deductible. At or above $3,000, FICA applies to all cash wages from the first dollar. Below $3,000, no FICA for either party. The 2025 threshold was $2,800. |
| Social Security tax | 6.2% employer + 6.2% employee | On the first $184,500 of cash wages per employee. |
| Medicare tax | 1.45% employer + 1.45% employee | No wage cap. Combined employer FICA below the Social Security cap is 7.65%. |
| Additional Medicare Tax | 0.9%, employee only | On wages over $200,000 in the calendar year. No employer match. |
| FUTA trigger | $1,000 or more in any calendar quarter, all employees combined | Separate test from the FICA threshold. Applies if the trigger is met in 2025 or 2026. |
| FUTA rate | 6.0% on the first $7,000 per employee, less a credit of up to 5.4% | Net 0.6%, maximum $42.00 per employee, assuming the full credit. Full credit requires paying all required 2026 state contributions by April 15, 2027. |
| Schedule H total | Both FICA shares + FUTA only | State unemployment tax is never part of Schedule H. File Schedule H with Form 1040 by April 15, 2027. Form W-2 is due February 1, 2027. |
Family exemptions: wages paid to a spouse or a child under 21 do not count for federal FICA or FUTA. A parent's wages never count for FUTA and count for FICA only under a narrow care-giving exception. 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. See the nanny tax calculator for the full exemption logic.
Why state tax can be owed when federal tax is $0
New York shows the point clearly. Paying $2,900 of wages spread evenly at $725 per quarter is below the $3,000 federal FICA threshold and below the $1,000 quarterly FUTA trigger, so the federal total is $0. But New York's household threshold is $500 per quarter, so state tax of $118.90 (4.1% of $2,900) is still owed. Any calculator that only computes state tax when federal tax applies will get this case wrong.
Frequently asked questions
Which states have verified nanny tax rates on this page?
Eight states have a verified 2026 new-employer unemployment rate and wage base: California, New York, Texas, Florida, Illinois, New Jersey, Massachusetts, and Georgia. Washington and Virginia are shown with special handling because Washington has no single new-employer rate and Virginia's all-in rate is disputed. The other 40 states and the District of Columbia are not yet verified.
What is SUTA, and is it part of Schedule H?
SUTA is state unemployment tax, paid by the employer to the state on a portion of each employee's wages. It is not part of Schedule H. Schedule H covers federal taxes only: both shares of FICA plus FUTA. State unemployment tax is reported and paid to the state separately.
Can I owe state tax when I owe no federal tax?
Yes. In New York, for example, $2,900 of wages spread evenly at $725 per quarter is below the $3,000 federal FICA threshold and below the $1,000 quarterly FUTA trigger, so federal tax is $0, but New York state unemployment tax of $118.90 is still owed because the state threshold is $500 per quarter. Each trigger must be tested separately.
Why is California's FUTA figure 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. Until the final determination and the 2026 Schedule A (Form 940) are checked, any California FUTA total is an estimate at the standard net rate of 0.6 percent and must be re-checked before filing.
What does new-employer rate mean?
A new-employer rate applies to employers with no unemployment insurance experience rating, usually in their first years. Employers with claims history receive an experience-rated rate that can be higher or lower. The figures on this page assume a new employer; if you have an assigned rate from your state, use that rate instead.
My state is not listed. What should I do?
Use the calculator for the federal-only result, which is the same in every state, and contact your state workforce or unemployment agency for your new-employer rate, wage base, and household coverage threshold. Do not use a rate from an unverified compilation without checking it against the official state source.
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 row.
- 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 page covers the 2026 tax year only.