Nanny Tax Desk

California nanny taxes for 2026

California counts you as a household employer once you pay $750 in a quarter. A new employer pays 3.4% unemployment insurance and 0.1% training tax on the first $7,000 per worker, and holds back 1.3% for state disability on all pay. On $52,000 your taxes are about $4,265, federal included.

Pay to your nanny in 2026
You owe on top of pay $0 employer taxes for 2026

See the year-end steps

General information from IRS Publication 926, not tax advice. Check with a tax professional for your household.

$52,000 in California, worked out

  1. FederalSocial Security $3,224, Medicare $754, federal unemployment $42.
  2. California UI and ETT3.4% plus 0.1% on the first $7,000: $245. The calculator is set to 3.5% on $7,000; use the rate on your own notice from the EDD.
  3. California SDI1.3% of all pay held back from the nanny: $676. It is the worker's tax; you hold it back and send it in.
  4. Your total$4,265 on top of pay. Held back from pay: $3,978 federal and $676 SDI.

Federal unemployment in California. When a state owes the federal unemployment fund, its employers pay more FUTA. The IRS names those states for each year in November; check the list before you file Schedule H.

General information from California EDD 2026 rates, California EDD household employers and IRS Publication 926 (2026), not tax advice. Check with a tax professional for your household.

Questions people ask next

When do I register with the EDD?

Within 15 days after you pay $750 or more in cash wages in a calendar quarter, the EDD says.

Is my UI rate always 3.4%?

New employers get 3.4% for two to three years. After that the rate depends partly on the benefits charged to your account, and ranges from 1.5% to 6.2% for 2026.

Does SDI stop at a wage cap?

No. Since 2024 all wages are subject to SDI.

Do I file California returns quarterly?

The EDD sets when household employers file and pay. Check the schedule in your EDD account when you register.

Related