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New York Nanny Tax Guide

New York has a few more requirements than simpler states, but your employee gets some valuable benefits in return—including disability coverage and paid family leave. If you're in NYC, Yonkers, or certain other areas, there may be local taxes too. Don't worry, we sort it all out for you.

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New York household employer quick facts

State Income Tax
State Unemployment
Disability Insurance
Paid Family Leave

Minimum Wage

$15.50-$16.50/hour

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SUTA Rate Range

0.6% - 9.7%

Key things to know
  • Your employee gets disability and paid family leave coverage
  • You'll withhold state (and possibly city) income tax
  • NYC, Long Island, and Westchester have different minimum wages
  • We handle all the New York-specific calculations

New York Employer Requirements

Withhold state income tax from each paycheck

You'll withhold New York state income tax based on how much your employee earns. The rate ranges from about 4% to 6.85% for most household employees. We calculate the exact amount each pay period.

NYC or Yonkers residents? There's city tax too

If your employee lives in New York City, you'll also withhold city income tax (about 3-4%). Yonkers residents have a smaller surcharge. If they live elsewhere in the state, you can skip this one.

DBL coverage (Disability Benefits Law)

New York requires household employers to carry disability coverage for their nanny. The premium goes to a private insurance carrier or NYSIF — not to the state. You can withhold up to $0.60/week from your nanny's paycheck to offset the cost; the rest comes from you. The benefit pays 50% of average weekly wage (capped at $170/week) for up to 26 weeks if your nanny is sick or injured off the job.

PFL coverage (Paid Family Leave)

PFL is fully employee-funded: 0.432% of wages in 2026, capped at $411.91/year. The premium also goes to a private insurance carrier — usually the same one as DBL on a single combined policy — not to the state. In return, your nanny gets up to 12 weeks of paid leave per year (67% of average weekly wage, capped at $1,228.53/week in 2026) to bond with a new child, care for a family member, or handle a military exigency.

Pay into the state unemployment fund

You'll contribute to New York's unemployment insurance fund—about 4.1% for new employers on the first $17,600 of wages. This protects your employee if they ever need unemployment benefits. We calculate and track this for you.

New York household employer questions

What will it cost?

Wondering what you'll actually owe as a New York 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 York tax agency, IRS Publication 926
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