What would the IRS flag about how you've been paying your nanny?
Answer 6 questions. We'll run the same checks a tax professional would and show you the specific findings — with dollar exposure and how to fix each one.
Educational only. Not tax, legal, or accounting advice. Consult a licensed tax professional for your specific situation.
How Virginia household employer rules differ
Virginia has a progressive income tax reaching 5.75% and no disability or paid leave requirements. The state minimum wage exceeds the federal level.
State unemployment insurance (SUI). Virginia requires household employers to register and pay state unemployment tax once you cross the federal $1,000/quarter threshold (some states use a lower threshold — California is $750/quarter, New York and DC are $500/quarter). New-employer rate range in Virginia: 0.01% - 6.32%. Missing the registration is one of the most common audit findings — the simulator flags it as soon as your quarterly wages cross the threshold.
State income tax withholding. Virginiahas state income tax, which means you may need to withhold from your nanny's paycheck (it depends on whether they elect withholding on the state W-4 equivalent). If they do, you owe quarterly remittance and an annual state W-2 reconciliation. The simulator flags missing withholding setup or unreported wages.
Minimum wage. The minimum wage in Virginia is $12.41/hour. If you paid below this rate, the simulator surfaces it as a Department of Labor exposure — separate from tax findings, and often more expensive (back wages plus liquidated damages).
Run the audit above to see exactly which Virginia rules apply to your situation — each finding comes with dollar exposure and a concrete next step.
Virginia household employer questions
The state-specific rules behind every finding.