California Nanny Tax Guide
California has more requirements than most states, but don't worry—we'll walk you through everything. The good news? Your employee gets great benefits, including disability coverage and paid family leave. We handle all the math so you can focus on your family.
Minimum Wage
$16.50/hour
SUTA Rate Range
1.5% - 6.2%
Key Things to Know
- You'll withhold state income tax from each paycheck
- Your employee gets disability and paid family leave benefits
- California has the highest minimum wage in the country
- NannyKeeper handles all the calculations automatically
California Employer Requirements
Withhold state income tax from each paycheck
Just like federal taxes, you'll take a small amount out of each paycheck for California income tax. The amount depends on how much your employee earns—we calculate the exact amount for you.
Withhold for State Disability Insurance (SDI)
You'll withhold 1.1% from each paycheck for SDI. This is actually a great benefit for your employee—if they ever get sick, injured, or pregnant and can't work, SDI provides partial income while they recover.
Your employee gets Paid Family Leave
Good news: the SDI withholding also covers Paid Family Leave. If your employee needs time to care for a new baby or sick family member, they can receive up to 8 weeks of partial pay through this program.
Pay into the state unemployment fund
You'll pay a small percentage (typically 1.5% to 6.2%) on the first $7,000 of wages each year. This funds unemployment benefits if your employee ever needs them. This comes from you, not their paycheck.
Small contribution to Employment Training Tax
California asks employers to contribute 0.1% on the first $7,000 of wages to fund job training programs. It's a tiny amount—about $7 per year—and we include it in your tax calculations.
What will it cost?
Wondering what you'll actually owe as a California employer? Adjust the numbers below to get a quick estimate of your annual tax obligations.
This guide is for informational purposes only and should not be considered legal or tax advice. Tax laws change frequently. Always verify current requirements with your state's tax agency or consult with a qualified tax professional.
Learn More
Calculate Your CA Nanny Taxes
Free calculator pre-filled for California employer costs.
2026 Tax Deadline Calendar
All quarterly deadlines for California and federal taxes.
Complete Guide to Nanny Taxes
Everything you need to know about household employment taxes.
Nanny Cost by State
Compare California employer costs to all 50 states.
NannyKeeper handles California taxes automatically
We calculate and track all state-specific requirements so you don't have to.
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