How much can you pay a nanny without paying taxes in 2024?

In 2024, you can pay a nanny or babysitter up to $2,700 in a calendar year without worrying about taxes.  This is up from $2,600 in 2023.

If you pay more than that, you may be considered a household employer. If so, then you are responsible for FICA (Social Security and Medicare Tax) and Unemployment Insurance taxes.  There are exceptions to this if the caregiver is your spouse, parent, or child under the age of 21.

This calculator will help to quickly estimate your nanny’s income to determine if you would be over the $2,700 amount in a year.

Download Paycheck Nanny from the Google Play store for Android devices or the App Store for iOS devices to automatically calculate taxes and withholdings, track time, create & email pay statements and guide you through your tax responsibilities.

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