Maryland Nanny Tax Calculator

How does the calculator estimate Maryland nanny taxes?

It adds up everything you owe as the employer in Maryland, on top of your nanny's wages.

• Federal FICA: 15.3% combined, split between you and your nanny
• Federal FUTA: 0.6% effective on the first $7,000
• Maryland SUTA: 0.3% - 10.9%
• Maryland state income tax (when withheld)
• Local income tax (Maryland has significant local layers)

Figures are 2026 rates and use the 2026 FICA threshold of $3,000.

Does Maryland require state income tax withholding from a nanny's paycheck?

Usually not. Maryland has a state income tax, but withholding it from a household employee is optional unless your nanny asks for it.

• It is usually optional, and your nanny elects it on Maryland's W-4 equivalent
• If they do elect it, you owe quarterly remittance to the state and an annual reconciliation return that includes the W-2 you issued

What's the minimum hourly rate I can pay a nanny in Maryland?

At least $15.00 an hour for a nanny in Maryland.

• That is Maryland's own minimum wage, above the federal $7.25 floor
• Some cities and counties may set a higher floor, so check your locality before you set a rate
• Overtime is 1.5x pay for hours over 40 in a week, under the FLSA
• Live-in nannies are exempt from FLSA overtime, but not from minimum wage

US DOL, State Minimum Wage Laws

Does Maryland add disability or paid family leave premiums?

Not yet. Maryland Family and Medical Leave Insurance (FAMLI) starts collecting contributions on January 1, 2027, and it covers household employees.

• Maryland requires every employer with at least one employee in the state to register for it, households included
• From that date you withhold your employee's share from each paycheck; an employer with fewer than 15 employees pays no employer share
• You register and remit for it separately from unemployment insurance

Why does my Maryland nanny's net pay differ from the calculator total?

Because they answer different questions. The calculator's employer total is what leaves your account; net pay is what lands in your Maryland nanny's.

• Federal FICA: 6.2% Social Security plus 1.45% Medicare, so 7.65% off the top
• Any federal income tax your nanny chose to have withheld
• Maryland income tax, if your nanny elected it on the state W-4

Your own share, the employer FICA match plus FUTA and SUTA, sits on top of gross pay rather than coming out of it.