Nest Payroll is a newer player in nanny payroll, built specifically for household employers. At $42–$49/month, it's priced between the budget options and the premium services.
But there's a catch you should know about before signing up.
What Is Nest Payroll?
Nest Payroll is a household-specific payroll service based in Palo Alto, California. Unlike SurePayroll (which was built for businesses), Nest was designed from the ground up for families paying nannies, housekeepers, and caregivers.
What's included:
- Payroll processing and tax calculations for all 50 states + DC
- Federal and state tax filings (they file for you)
- Quarterly tax filings
- W-2, W-3, and Schedule H preparation and filing
- Federal 1040-ES estimated payments
- New hire reporting
- Professional pay stubs
- EIN and state employer tax ID registration
- Concierge support via text or email
How Much Does Nest Payroll Cost in 2026?
| Plan | Monthly Price | Employees |
|---|---|---|
| Essentials | $42 | 1 employee |
| Essentials Plus | $49 | 2 employees |
| Professional | $69 | 3–6 employees |
| Fee | Amount |
|---|---|
| Setup fee | None |
| Year-end documents (while subscribed) | Included |
| Year-end documents (if you cancel mid-year) | $149 |
| Catch-up wages (back taxes) | $42/mo/employee + $149/year-end per tax year |
That $149 cancellation fee is worth noting. If you subscribe in January and cancel in June, you'll still owe $149 for year-end filing (W-2 and Schedule H). While subscribed, it's included.
Nest offers a 14-day free trial for new accounts through their website.
What Nest Does Well
Built for households. Nest speaks your language. The interface uses terms like "nanny" and "caregiver," not "employee class" and "department code." Everything is geared toward families, not businesses.
Catch-up service for back taxes. If you've been paying under the table and want to get compliant, Nest will reconstruct your payroll records and file back taxes. They charge $42/month per employee per tax year plus $149 per year-end filing. Few services offer this. For a full breakdown of what catching up involves, see our guide to back nanny taxes.
Concierge support. Nest offers support via text message and email—and they have a reputation for being responsive. For families new to household employment, having someone you can text a quick question to is valuable.
EIN and state registration help. Nest helps you get your federal EIN and state employer tax IDs. If getting an EIN and navigating state registration feels overwhelming, Nest handles it for you.
Quick setup. Nest advertises a 5-minute onboarding process. They ask for the basics (your info, your nanny's info, pay details) and handle the rest.
Where Nest Falls Short
No traditional direct deposit. This is the biggest gap. Nest does not offer bank-to-bank ACH direct deposit. Instead, they integrate with:
- Venmo — initiate payment from within the pay stub
- Cash App — same as Venmo
- Zelle — through your banking app
- Personal check — old school but it works
For many families, this is fine. But if you want your nanny to receive a direct bank deposit on payday without opening Venmo, Nest can't do that. NannyKeeper, SurePayroll, Poppins, GTM, and HomePay all offer traditional direct deposit.
$149 cancellation year-end fee. If you cancel mid-year, Nest charges $149 for year-end filing. Understandable—they still need to file your W-2 and Schedule H for the partial year—but it means you're not truly free to leave mid-year without a fee.
No employee portal. Nest doesn't offer a self-service portal for your nanny to view pay stubs, update their W-4, or access tax documents. Everything goes through you.
Smaller company. Nest is an independent company (developed by Felicity Inc.). They don't have the backing of Paychex (SurePayroll), Care.com (HomePay), or Spectrum Equity (Poppins). For most families this doesn't matter day-to-day, but it's worth considering for long-term reliability.
No bi-weekly pay period scheduling. Some users have reported that Nest doesn't support bi-weekly pay periods natively. If you pay your nanny every two weeks (rather than weekly, semi-monthly, or monthly), check with Nest before signing up.
Nest Payroll vs. NannyKeeper: Full Comparison
| Feature | Nest Payroll | NannyKeeper |
|---|---|---|
| Monthly price | $42 | $10 (Starter) / $18 (Plus) |
| Year-end fee | Included (while subscribed) | Included |
| Cancellation fee | $149 (mid-year) | None |
| Annual total | ~$504 | $120 (Starter) / $216 (Plus) |
| Direct deposit | No (Venmo/Cash App/Zelle) | Yes—$6/transfer (Plus) / $8/transfer (Starter) |
| Files taxes for you | Yes | No (you file—takes 15 min/quarter) |
| Email deadline reminders | No | Yes |
| Free payment tracking | No (14-day trial) | Yes—free forever |
| W-2 generation | Included | Included |
| Schedule H generation | Included | Included |
| All 50 states | Yes | Yes |
| Household-specific | Yes | Yes |
| Employee W-4 self-service | No | Yes (Plus) |
| Catch-up service | Yes ($42/mo + $149/yr) | No |
| Phone support | No (text/email) | Email support |
| EIN registration | Included | Guide provided |
The main tradeoff: Nest files your taxes for you and offers a catch-up service for back taxes. NannyKeeper calculates everything, generates the forms, provides real bank-to-bank direct deposit, sends deadline reminders, and you submit the forms yourself (about 15 minutes per quarter).
The savings: Switching from Nest to NannyKeeper saves $288–$384/year—and you gain direct deposit.
A real example
Say you pay your nanny $600/week in New York:
| Nest Payroll | NannyKeeper (Plus) | |
|---|---|---|
| Annual payroll service | $504 | $216 |
| Year-end documents | $0 (included) | $0 (included) |
| Direct deposit | Not available | $6/transfer (Plus) |
| Total cost | ~$504 | ~$216 |
| You save | ~$288/year |
Plus, with NannyKeeper you get bank-to-bank direct deposit, which Nest doesn't offer at any price.
Nest Payroll vs. Other Services
| Feature | Nest | SurePayroll | Poppins | GTM | HomePay | NannyKeeper |
|---|---|---|---|---|---|---|
| Monthly price | $42 | $39 | $49 | $70 | $75 | $10–$18 |
| Annual total | ~$504 | ~$523 | ~$588 | ~$840 | ~$1,000 | $120–$216 |
| Direct deposit | No | Yes | Yes | Yes | Yes | Yes |
| Files for you | Yes | Yes | Yes | Yes | Yes | No |
| Household-specific | Yes | No | Yes | Yes | Yes | Yes |
| Catch-up service | Yes | No | No | Yes | Yes | No |
| Tax guarantee | No | Yes | No | No | No | N/A |
Nest sits in an awkward middle ground: more expensive than SurePayroll but without direct deposit. The catch-up service is a real differentiator if you need it. For everything else, other options offer more for less.
Who Should Use Nest Payroll?
Nest makes sense if:
- You've been paying under the table and need the catch-up service specifically
- You and your nanny both use Venmo or Cash App and don't need bank-to-bank direct deposit
- You want a household-specific full-service option cheaper than Poppins
- Text-based support appeals to you
Who Should Skip Nest
You probably don't need Nest if:
- You want traditional direct deposit—Nest simply doesn't offer it
- You're comfortable filing forms yourself and want to save $288+/year
- The $149 mid-year cancellation fee bothers you
- You want a free tier to try before committing
- You'd rather pay less with a more established provider
So Is Nest Payroll Worth It?
Nest is a solid household-specific service with one real standout (catch-up filing) and one significant gap (no direct deposit). At $504/year, you're getting full-service filing with a purpose-built interface—but you can't pay your nanny via direct bank deposit.
If you need the catch-up service for back taxes, Nest is one of the few options that specializes in this. That alone might justify the price.
For everyone else, NannyKeeper at $120–$216/year saves you $288+/year, includes real direct deposit, and provides deadline reminders and household-specific guidance. The trade-off: you file the forms yourself, about 15 minutes per quarter.
Compare all nanny payroll services →
Read our Poppins Payroll review →
FAQ
How much does Nest Payroll cost per year?
Nest Payroll costs $504/year for one employee ($42/month) or $588/year for two employees ($49/month). Year-end documents are included while you're subscribed. If you cancel mid-year, there's a $149 fee for year-end filing.
Does Nest Payroll offer direct deposit?
No. Nest does not offer traditional bank-to-bank ACH direct deposit. They integrate with Venmo, Cash App, and Zelle as payment methods, or you can pay by personal check. If direct deposit is important to you, NannyKeeper, SurePayroll, Poppins, GTM, and HomePay all offer it.
Can Nest Payroll help with back taxes?
Yes—this is Nest's standout feature. Their catch-up service reconstructs your payroll records and files back taxes at $42/month per employee per tax year plus $149 per year-end filing (minimum 3 months). If you've been paying under the table and want to get compliant, this is one of the few services that specializes in it.
Is Nest Payroll legit?
Yes. Nest Payroll is a legitimate household payroll service based in Palo Alto, California. They file taxes on your behalf, handle W-2 and Schedule H preparation, and cover all 50 states plus DC. They're a smaller, independent company—not backed by a major payroll provider like SurePayroll (Paychex) or HomePay (Care.com).
What's the cheapest nanny payroll service?
NannyKeeper starts at $10/month ($120/year) with no year-end fees. Direct deposit is available at $6/transfer (Plus) or $8/transfer (Starter). Free payment tracking is available with no subscription. Among full-service providers, SurePayroll is the cheapest at $39/month (~$523/year including year-end fees).