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VT

Vermont Nanny Tax Guide

Vermont has a progressive income tax and is implementing a Paid Family and Medical Leave program. The state's income tax rates reach up to 8.75%.

State Income Tax
State Unemployment
Disability Insurance
Paid Family Leave

Minimum Wage

$14.01/hour

SUTA Rate Range

0.5% - 5.6%

Key Things to Know

  • Progressive state income tax (3.35% - 8.75%)
  • Paid Family and Medical Leave starting 2025
  • State minimum wage is $14.01/hour
  • Personal exemption of $4,850

Vermont Employer Requirements

State Income Tax

Vermont uses progressive tax brackets: 3.35% to $45,400, 6.6% to $110,050, 7.6% to $229,550, and 8.75% above. Personal exemption is $4,850.

Paid Family and Medical Leave

Vermont's PFML program launches in 2025. Contributions are 0.4% of wages (split between employer and employee). Benefits provide up to 12 weeks of paid leave.

State Unemployment Insurance

Employers pay SUI tax on the first $16,100 of wages. New employer rate is 1.0%, with rates ranging from 0.5% to 5.6% based on experience.

What will it cost?

Wondering what you'll actually owe as a Vermont 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 February 2026Sources: Vermont tax agency, IRS Publication 926

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