How do I register as a household employer in Hawaii?

Start with a federal EIN, then register with Hawaii for each account that applies to you. Apply for a federal EIN at IRS.gov. It is free and takes about 15 minutes. Register with Hawaii's unemployment insurance agency once you cross $1,000 in any calendar quarter. Most states want this within 20 days of becoming a covered employer. If you will withhold Hawaii income tax at your nanny's request, register separately with the state revenue department for a withholding account. For Hawaii Temporary Disability Insurance (TDI), buy a policy from an approved insurance carrier. Hawaii doesn't collect it as a state tax.

What payroll taxes does Hawaii charge for a household employee?

Federal FICA and FUTA, Hawaii SUTA, and anything else below that applies to you. Federal FICA: 7.65% employer share, matched by your nanny. Federal FUTA: 6.0% on the first $7,000, an effective 0.6% after the state SUTA credit. Hawaii SUTA: 0% - 5.6% plus Hawaii's separate employment and training assessment on a state-specific wage base, with a separate rate for new employers. State income tax withholding is optional unless your nanny elects it on the state W-4. Plus the Hawaii Temporary Disability Insurance (TDI) premium, which you pay to an approved insurance carrier. Once your nanny qualifies, you can take up to half of it out of their pay, but never more than 0.5% of their weekly wages or $7.50 a week in 2026.

What are Hawaii's minimum wage and overtime rules for nannies?

At least $16.00 an hour for a nanny in Hawaii. That is Hawaii'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. Source: US DOL, State Minimum Wage Laws.

Can I require my nanny to use direct deposit in Hawaii?

Yes. Hawaii allows direct deposit for household employees. Federal Regulation E still applies: your nanny must be free to choose their own bank, or you offer another payment method. Get a written, signed authorization before the first deposit, even though Hawaii does not strictly require one.

What records do I need to keep for a Hawaii household employee?

Keep them for at least 4 years after the return reporting the tax was due, or the tax was paid, whichever is later. Timesheets, pay stubs, W-2 copies, payment confirmations and SUTA filings. Hawaii follows the federal baseline, so 4 years covers both. Most household-employer audits open with the IRS or a state agency asking for exactly these records, so keep them with your tax filings. Source: IRS Publication 926.

All State Guides

Hawaii Nanny Tax Guide

Hawaii requires Temporary Disability Insurance (TDI) for employees, providing partial wage replacement for non-work-related illness or injury, and health coverage under its Prepaid Health Care law for employees who work 20 hours or more a week. The state has a progressive income tax reaching 11%.

Hawaii household employer quick facts

Applies in Hawaii

State income tax withholding
State unemployment
Disability insurance

Not in Hawaii

Paid family leave

Minimum Wage

$16.00/hour

Compare nationwide →

SUTA Rate Range

0% - 5.6%

New employers: 2.4% on the first $64,500 (2026). Hawaii Department of Labor and Industrial Relations

Key things to know

Progressive income tax up to 11%
TDI required, plus health coverage at 20+ hours a week
State minimum wage is $16.00/hour
High SUI wage base ($64,500)

Hawaii Employer Requirements

State Income Tax

Hawaii has a highly progressive income tax with 12 brackets ranging from 1.4% to 11%. Most household employee income falls in the 5.5% to 8.25% range.

Temporary Disability Insurance (TDI)

You buy a TDI policy from an approved insurance carrier. Once your employee qualifies (14 weeks of 20-hour weeks in the past year), you can take up to half the premium out of their pay, but never more than 0.5% of their weekly wages or $7.50 a week in 2026. TDI replaces part of their pay if an illness or injury that isn't work-related keeps them from working.

Prepaid Health Care

After four weeks in a row of employment, you must provide an approved health plan to an employee who works 20 hours or more a week and earns at least $1,387 a month (2026). You pay at least half the premium. An employee with other qualifying coverage can waive it each calendar year on Form HC-5. It doesn't apply if you employ your spouse, your parent, or your own child under 21.

State Unemployment Insurance

Employers pay SUI tax on the first $64,500 of wages, one of the highest wage bases. The 2026 new-employer UI rate is 2.4%, with rates ranging from 0.0% to 5.6%, plus a separate 0.01% Employment and Training assessment.

Hawaii household employer questions

What will it cost?

Wondering what you'll actually owe as a Hawaii 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.

Verified accurate as of June 2026Sources: Hawaii tax agency, IRS Publication 926

Share this Hawaii guide:

NannyKeeper calculates Hawaii taxes on every paycheck

We calculate and track all state-specific requirements so you don't have to.

Get Started Free

Hawaii Nanny Tax Guide

Hawaii household employer quick facts

Hawaii Employer Requirements

State Income Tax

Temporary Disability Insurance (TDI)

Prepaid Health Care

State Unemployment Insurance

Hawaii household employer questions

What will it cost?

Learn More

Calculate Your HI Nanny Taxes

Run a Hawaii household employer audit

Hawaii Nanny Contract

2026 Tax Deadline Calendar

Complete Guide to Nanny Taxes

Nanny Cost by State

NannyKeeper calculates Hawaii taxes on every paycheck