You found a great tutor for your kid. Maybe it's SAT prep twice a week. Maybe you're homeschooling and brought someone on for math and science. Either way, you're paying them real money—and now you're wondering if you need to deal with taxes.
The answer depends on one thing: how the tutoring arrangement is set up.
The Classification Question
Not every tutor is your employee. And not every tutor is a contractor. The IRS cares about one thing: who controls the work?
If you hire a tutor directly, they come to your home, you set the schedule, and you tell them what subjects to cover—that person is your household employee under IRS Publication 926. The same rules that apply to nannies and housekeepers apply to tutors.
But if you hire a tutor through a tutoring company—like Kumon, Sylvan, or a local agency—the company is the employer, not you. They handle payroll and taxes. You just pay the company's invoice.
The tricky part is the middle ground: independent tutors who advertise on their own, serve many families, and run what looks like a small business. More on that below.
When a Tutor IS Your Employee
A private tutor is almost certainly your employee if most of these are true:
- They come to your home to teach your child
- You set the schedule ("Tuesdays and Thursdays at 4pm")
- You decide what they teach (specific subjects, curriculum, test prep materials)
- It's an ongoing arrangement — not a one-time session
- They work primarily for your family or just a few families
The fact that they're "just a tutor" doesn't change anything. The IRS doesn't care about job titles. They care about control.
For a deeper look at how the IRS draws this line, read our employee vs. contractor guide.
When a Tutor Is Legitimately Independent
Some tutors genuinely operate as independent contractors. That's the case when they:
- Set their own schedule and you book available slots
- Work at their own location (their office, a library, a tutoring center)
- Serve many clients with their own marketing and business structure
- Control the teaching method — you say "improve her math," they decide how
- Provide their own materials and curriculum
- Have an LLC, business insurance, or a business website
A tutor who runs a real tutoring business, sets their own hours, and teaches at a public location is probably a contractor. A tutor who shows up at your kitchen table every Tuesday because you asked them to is probably your employee.
How Fast the $3,000 Threshold Gets Crossed
Here's where families get surprised. Private tutors typically charge $50–$100/hour, and even a modest schedule adds up fast.
| Arrangement | Hourly Rate | Annual Total | Taxes Required? |
|---|---|---|---|
| 1 hr/week, school year only (36 weeks) | $60/hr | $2,160 | No |
| 2 hrs/week, school year only (36 weeks) | $60/hr | $4,320 | Yes |
| 1 hr/week, year-round | $75/hr | $3,900 | Yes |
| 3 hrs/week, school year only (36 weeks) | $50/hr | $5,400 | Yes |
| 5 hrs/week, year-round (homeschool) | $50/hr | $13,000 | Yes |
| 10 hrs/week, year-round (homeschool) | $60/hr | $31,200 | Yes |
Bottom line: if your tutor comes more than once a week at typical rates, you're almost certainly crossing the $3,000 threshold (2026). And at that point, you're a household employer.
Homeschool Families: Pay Attention
If you're homeschooling and you've hired a tutor for significant hours—say 10 or more per week—they are almost certainly your employee. You're setting the schedule, choosing the subjects, providing the workspace, and the relationship is ongoing for months or years.
At $60/hour for 10 hours/week, that's $31,200/year. This isn't a gray area. That's a part-time job in your home, and the IRS treats it like one.
The tax setup is a one-time process, though. Once you're running payroll, it takes about 15 minutes per quarter to stay current.
What Taxes Would You Owe?
The taxes for a private tutor are identical to any other household employee. No special rules, no tutor-specific forms.
Your employer taxes (on top of their pay)
| Tax | Rate | Applied To |
|---|---|---|
| Social Security | 6.2% | All wages up to $184,500 |
| Medicare | 1.45% | All wages (no cap) |
| FUTA (federal unemployment) | 0.6% | First $7,000 of wages |
| State unemployment (SUTA) | Varies | Varies by state |
Employee taxes (withheld from their pay)
| Tax | Rate |
|---|---|
| Social Security | 6.2% |
| Medicare | 1.45% |
| Federal income tax | Based on their W-4 |
| State income tax | Varies by state |
A real example
Say you hire a tutor in New York for 3 hours/week at $75/hour during the school year (36 weeks) — that's $8,100/year.
| Tax | Amount |
|---|---|
| Employer Social Security (6.2%) | $502 |
| Employer Medicare (1.45%) | $117 |
| FUTA (0.6% on first $7,000) | $42 |
| NY SUTA (~4.1% on first $12,500) | $332 |
| Total employer taxes | ~$993/year |
That's roughly $27.58/week in employer taxes on top of the $225/week in wages — about 12.3% of wages in this case. Use our household employer calculator to get the exact numbers for your state.
What to Do If Your Tutor Is Your Employee
The process is the same as for any household employee:
1. Get an EIN — Free and takes 5 minutes at irs.gov. Our EIN guide walks through every step.
2. Have them fill out a W-4 — This determines federal income tax withholding.
3. Check your state requirements — Some states require registration, state income tax withholding, or disability insurance for household employers. Find your state's requirements →
4. Start withholding and paying taxes — 7.65% from their pay (Social Security + Medicare), plus your matching 7.65% employer share.
5. Make quarterly estimated payments — Due January 15, April 15, June 15, September 15. See our quarterly deadline guide.
6. Issue a W-2 by January 31 — For all wages paid during the calendar year. Read our W-2 guide.
7. File Schedule H with your tax return — This is where you report household employment taxes. Our Schedule H walkthrough covers it line by line.
Can You Claim a Tax Credit?
Yes — and this is the silver lining. If your child is under 13 and the tutoring happens while you work, you may qualify for the Child and Dependent Care Credit. That's worth up to $1,050 for one child or $2,100 for two or more.
The catch: you can only claim the credit if you report wages properly on Schedule H and file Form 2441. Paying under the table means losing this credit entirely.
In some cases, the credit alone offsets a large chunk of your employer tax costs.
What Happens If You Get This Wrong?
If the IRS determines your tutor should have been classified as an employee, you could owe:
- Back Social Security and Medicare taxes — both your share and the share you should have withheld
- FUTA taxes plus any state unemployment taxes
- Penalties of 1.5% to 40% of the unpaid taxes
- Interest from the date the taxes were originally due
Your tutor gets hurt too. They lose Social Security credits and can't claim unemployment benefits if the arrangement ends. Nobody wins when taxes go unreported.
For more on what an audit looks like, read our nanny tax audit guide.
See what you'll owe
Use our free calculator to estimate your nanny tax costs for 2026.
FAQ
Do I owe taxes if my child goes to the tutor's location?
Probably not — at least not household employment taxes. If the tutor works from their own office or a public location, sets their own schedule, and serves many clients, they're likely an independent contractor. The household employer rules in IRS Publication 926 specifically apply to workers who perform services in your home.
What if the tutor also watches my kids (like a tutor-nanny)?
Then they're almost certainly your employee. When a tutor provides childcare alongside instruction — picking up the kids, supervising homework, preparing snacks — that's a household worker by any measure. The classification doesn't depend on the job title.
Does online tutoring count?
Generally no. If a tutor works remotely from their own home and you simply log into a video call, they're not working in your household. But if an in-person tutor occasionally does a session over Zoom, that doesn't change the overall classification. It's about the nature of the relationship, not any single session.
My tutor insists they're a contractor. Does that matter?
Not to the IRS. The classification is based on the actual working relationship, not what either party calls it. If you control the schedule, location, and what's being taught, the tutor is your employee regardless of what you both agreed to. Signing a "contractor agreement" doesn't override IRS rules. Read our full classification guide for the details.