Hiring a summer nanny? Payroll and taxes, handled.See how →

Skip to main content
NJ

New Jersey Nanny Tax Guide

New Jersey takes care of its workers—your employee will have both disability coverage and paid family leave. There's a bit more to track here than in simpler states, but your employee gets some real benefits. We handle all the calculations so you don't have to worry about the details.

Share this:

New Jersey household employer quick facts

State Income Tax
State Unemployment
Disability Insurance
Paid Family Leave

Minimum Wage

$15.49/hour

Compare nationwide →

SUTA Rate Range

0.5% - 5.7%

Key things to know
  • Your employee gets disability and family leave coverage
  • You'll withhold state income tax from each paycheck
  • New Jersey has a strong minimum wage ($15.49/hour)
  • We handle all the Garden State calculations for you

New Jersey Employer Requirements

Withhold state income tax from each paycheck

You'll withhold New Jersey income tax based on your employee's earnings. For most household employees, the rate is between 1.75% and 5.5%. We calculate the exact amount each pay period.

Disability insurance is covered

New Jersey provides Temporary Disability Insurance to protect workers who get sick or injured outside of work. For 2026, the employee contribution is 0.19% of wages (up to $171,100). We include it in your tax calculations.

Withhold for Family Leave Insurance

Your employee contributes 0.23% of wages toward Family Leave Insurance. This gives them access to up to 12 weeks of paid leave to bond with a new baby or care for a sick family member—a valuable benefit.

Pay into the state unemployment fund

You'll contribute to New Jersey's unemployment fund. New employers pay about 2.79% on the first $44,800 of wages (one of the higher wage bases in the country). We track this automatically so you stay on top of it.

New Jersey household employer questions

What will it cost?

Wondering what you'll actually owe as a New Jersey 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 April 2026Sources: New Jersey tax agency, IRS Publication 926
Share this New Jersey guide:

NannyKeeper handles New Jersey taxes automatically

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

Get Started Free