{"id":11155,"date":"2016-12-27T12:12:27","date_gmt":"2016-12-27T17:12:27","guid":{"rendered":"https:\/\/gtm.com\/household\/?page_id=11155"},"modified":"2026-03-30T14:56:38","modified_gmt":"2026-03-30T18:56:38","slug":"household-employment-in-maryland","status":"publish","type":"page","link":"https:\/\/gtm.com\/household\/household-employment-in-maryland\/","title":{"rendered":"Nanny Taxes &#038; Payroll in Maryland"},"content":{"rendered":"<p>[et_pb_section fb_built=&#8221;1&#8243; admin_label=&#8221;2025 Header&#8221; _builder_version=&#8221;4.27.4&#8243; _module_preset=&#8221;_initial&#8221; background_color=&#8221;rgba(0,0,0,0.25)&#8221; background_image=&#8221;https:\/\/gtm.com\/household\/wp-content\/uploads\/2025\/04\/5-gtm_state-nanny-tax-page-scaled.jpg&#8221; global_module=&#8221;41579&#8243; saved_tabs=&#8221;all&#8221; global_colors_info=&#8221;{}&#8221;][et_pb_row admin_label=&#8221;Row&#8221; _builder_version=&#8221;4.27.4&#8243; _module_preset=&#8221;default&#8221; custom_padding=&#8221;100px||100px||true|false&#8221; global_colors_info=&#8221;{}&#8221;][et_pb_column type=&#8221;4_4&#8243; _builder_version=&#8221;4.27.4&#8243; _module_preset=&#8221;default&#8221; global_colors_info=&#8221;{}&#8221;][et_pb_text _builder_version=&#8221;4.27.5&#8243; _dynamic_attributes=&#8221;content&#8221; _module_preset=&#8221;_initial&#8221; header_font_size=&#8221;50px&#8221; header_2_text_color=&#8221;#666666&#8243; text_orientation=&#8221;center&#8221; background_layout=&#8221;dark&#8221; header_font_size_tablet=&#8221;40px&#8221; header_font_size_phone=&#8221;28px&#8221; header_font_size_last_edited=&#8221;on|phone&#8221; global_colors_info=&#8221;{}&#8221;]@ET-DC@eyJkeW5hbWljIjp0cnVlLCJjb250ZW50IjoicG9zdF90aXRsZSIsInNldHRpbmdzIjp7ImJlZm9yZSI6IjxoMT4iLCJhZnRlciI6IjwvaDE+In19@[\/et_pb_text][\/et_pb_column][\/et_pb_row][\/et_pb_section][et_pb_section fb_built=&#8221;1&#8243; admin_label=&#8221;Templated State Content&#8221; _builder_version=&#8221;4.27.4&#8243; _module_preset=&#8221;_initial&#8221; custom_padding=&#8221;10px||10px||true|false&#8221; global_colors_info=&#8221;{}&#8221;][et_pb_row column_structure=&#8221;1_4,3_4&#8243; _builder_version=&#8221;4.27.4&#8243; _module_preset=&#8221;default&#8221; max_width=&#8221;1400px&#8221; custom_padding=&#8221;25px|||||&#8221; global_colors_info=&#8221;{}&#8221;][et_pb_column type=&#8221;1_4&#8243; _builder_version=&#8221;4.20.2&#8243; _module_preset=&#8221;default&#8221; global_colors_info=&#8221;{}&#8221;][et_pb_heading title=&#8221;Contents&#8221; admin_label=&#8221;Content Header&#8221; _builder_version=&#8221;4.27.4&#8243; _module_preset=&#8221;default&#8221; title_level=&#8221;h3&#8243; custom_margin=&#8221;17px||26px|||&#8221; border_width_bottom=&#8221;2px&#8221; border_color_bottom=&#8221;#0C71C3&#8243; global_module=&#8221;41593&#8243; saved_tabs=&#8221;all&#8221; global_colors_info=&#8221;{}&#8221;][\/et_pb_heading][et_pb_text admin_label=&#8221;content anchor links&#8221; _builder_version=&#8221;4.27.4&#8243; _module_preset=&#8221;_initial&#8221; text_line_height=&#8221;1.2em&#8221; header_2_text_color=&#8221;#666666&#8243; global_module=&#8221;41595&#8243; saved_tabs=&#8221;all&#8221; global_colors_info=&#8221;{}&#8221;]<\/p>\n<p><a href=\"#glance\">At a Glance<\/a><\/p>\n<p><a href=\"#minimum\">Minimum Wage<\/a><\/p>\n<p><a href=\"#overtime\">Overtime Pay Rules<\/a><\/p>\n<p><a href=\"#unemployment\">State Unemployment Tax &amp; Rate<\/a><\/p>\n<p><a href=\"#workerscomp\">Workers\u2019 Compensation Insurance<\/a><\/p>\n<p><a href=\"#disability\">Disability Benefits Insurance<\/a><\/p>\n<p><a href=\"#domestic\">Domestic Workers\u2019 Bill of Rights<\/a><\/p>\n<p><a href=\"#paidleave\">Paid Leave Laws<\/a><\/p>\n<p><a href=\"#other\">Other State Regulations<\/a><\/p>\n<p><a href=\"#helpful\">Helpful Links<\/a><\/p>\n<p><a href=\"#federalregulations\">Federal Regulations<\/a><\/p>\n<p>[\/et_pb_text][et_pb_heading title=&#8221;More from our Learning Library&#8221; disabled_on=&#8221;on|on|off&#8221; admin_label=&#8221;Browse Learning Library&#8221; _builder_version=&#8221;4.27.4&#8243; _module_preset=&#8221;default&#8221; title_level=&#8221;h3&#8243; custom_margin=&#8221;17px||26px|||&#8221; border_width_bottom=&#8221;2px&#8221; border_color_bottom=&#8221;#0C71C3&#8243; global_module=&#8221;41596&#8243; saved_tabs=&#8221;all&#8221; global_colors_info=&#8221;{}&#8221;][\/et_pb_heading][et_pb_image src=&#8221;https:\/\/gtm.com\/household\/wp-content\/uploads\/2025\/03\/Resource-Library-Hero3.png&#8221; alt=&#8221;free consultation&#8221; title_text=&#8221;Resource-Library-Hero3&#8243; align=&#8221;center&#8221; disabled_on=&#8221;on|on|off&#8221; admin_label=&#8221;LL image&#8221; _builder_version=&#8221;4.27.4&#8243; _module_preset=&#8221;_initial&#8221; width=&#8221;80%&#8221; custom_margin=&#8221;||0px|||&#8221; global_module=&#8221;41597&#8243; saved_tabs=&#8221;all&#8221; global_colors_info=&#8221;{}&#8221;][\/et_pb_image][et_pb_text disabled_on=&#8221;on|on|off&#8221; admin_label=&#8221;LL links&#8221; _builder_version=&#8221;4.27.4&#8243; _module_preset=&#8221;_initial&#8221; header_2_text_color=&#8221;#666666&#8243; min_height=&#8221;59.2px&#8221; custom_margin=&#8221;||11px|||&#8221; custom_padding=&#8221;||17px|||&#8221; global_module=&#8221;41598&#8243; saved_tabs=&#8221;all&#8221; global_colors_info=&#8221;{}&#8221;]<\/p>\n<ul>\n<li><a href=\"https:\/\/gtm.com\/household\/learning-topic\/labor-law-compliance\/\">Labor Law Compliance<\/a><\/li>\n<li><a href=\"https:\/\/gtm.com\/household\/learning-topic\/hiring-managing-employees\/\">Hiring &amp; Managing Employees<\/a><\/li>\n<li><a href=\"https:\/\/gtm.com\/household\/learning-topic\/costs-employee-benefits\/\">Costs &amp; Employee Benefits<\/a><\/li>\n<li><a href=\"https:\/\/gtm.com\/household\/learning-topic\/payroll-taxes\/\">Payroll &amp; Taxes<\/a><\/li>\n<\/ul>\n<p>[\/et_pb_text][et_pb_heading title=&#8221;Popular Resources&#8221; disabled_on=&#8221;on|on|off&#8221; admin_label=&#8221;LL Featured Resources&#8221; _builder_version=&#8221;4.27.6&#8243; _module_preset=&#8221;default&#8221; title_level=&#8221;h3&#8243; custom_margin=&#8221;17px||26px|||&#8221; border_width_bottom=&#8221;2px&#8221; border_color_bottom=&#8221;#0C71C3&#8243; global_module=&#8221;41599&#8243; saved_tabs=&#8221;all&#8221; global_colors_info=&#8221;{}&#8221;][\/et_pb_heading][et_pb_text disabled_on=&#8221;on|on|off&#8221; admin_label=&#8221;LL featured links&#8221; _builder_version=&#8221;4.27.4&#8243; _module_preset=&#8221;_initial&#8221; header_2_text_color=&#8221;#666666&#8243; min_height=&#8221;59.2px&#8221; custom_margin=&#8221;||11px|||&#8221; custom_padding=&#8221;||17px|||&#8221; global_module=&#8221;41600&#8243; saved_tabs=&#8221;all&#8221; global_colors_info=&#8221;{}&#8221;]<\/p>\n<ul>\n<li><a href=\"https:\/\/gtm.com\/household\/learning-library\/tax-calculators\/\">Nanny Tax Calculator<\/a><\/li>\n<li><a href=\"https:\/\/gtm.com\/household\/learning-library\/complete-guide-household-payroll\/\">Complete Guide to Household Payroll<\/a><\/li>\n<li><a href=\"https:\/\/gtm.com\/household\/learning-library\/nanny-tax-guide\/\">Nanny Tax Guide<\/a><\/li>\n<li><a href=\"https:\/\/gtm.com\/household\/learning-library\/household-employment-by-state\/\">State-by-State Regulations<\/a><\/li>\n<li><a href=\"https:\/\/gtm.com\/household\/learning-library\/minimum-wage-rates\/\">Minimum Wage Rates<\/a><\/li>\n<\/ul>\n<p>&nbsp;<\/p>\n<p>[\/et_pb_text][\/et_pb_column][et_pb_column type=&#8221;3_4&#8243; _builder_version=&#8221;4.27.4&#8243; _module_preset=&#8221;default&#8221; custom_padding_tablet=&#8221;60px||||false|false&#8221; custom_padding_phone=&#8221;30px||||false|false&#8221; custom_padding_last_edited=&#8221;off|desktop&#8221; global_colors_info=&#8221;{}&#8221;][et_pb_text ul_item_indent=&#8221;40px&#8221; admin_label=&#8221;State Regulations &#8211; Intro Text&#8221; _builder_version=&#8221;4.27.6&#8243; _dynamic_attributes=&#8221;link_option_url&#8221; _module_preset=&#8221;_initial&#8221; link_font=&#8221;||||||||&#8221; header_2_text_color=&#8221;#212492&#8243; header_3_text_color=&#8221;#666666&#8243; header_4_font=&#8221;||||||||&#8221; header_4_text_color=&#8221;#666666&#8243; link_option_url=&#8221;@ET-DC@eyJkeW5hbWljIjp0cnVlLCJjb250ZW50IjoicG9zdF9saW5rX3VybCIsInNldHRpbmdzIjp7fX0=@&#8221; z_index_tablet=&#8221;500&#8243; use_border_color=&#8221;off&#8221; global_module=&#8221;41634&#8243; saved_tabs=&#8221;all&#8221; global_colors_info=&#8221;{}&#8221;]<\/p>\n<p>Household employers must comply with applicable tax, wage, and labor laws for nannies, in-home senior caregivers, and other household employees. While federal rules apply to employers nationwide, there are also state- and city-specific regulations employers must follow.<\/p>\n<p>[\/et_pb_text][et_pb_code admin_label=&#8221;at a glance Code&#8221; module_id=&#8221;glance&#8221; _builder_version=&#8221;4.27.6&#8243; _module_preset=&#8221;default&#8221; background_color=&#8221;#f4f4f4&#8243; custom_margin=&#8221;-25px||||false|false&#8221; custom_margin_tablet=&#8221;0px||||false|false&#8221; custom_margin_phone=&#8221;0px||||false|false&#8221; custom_margin_last_edited=&#8221;on|tablet&#8221; custom_padding=&#8221;20px|20px|20px|20px|true|true&#8221; global_colors_info=&#8221;{}&#8221;]<\/p>\n<h4>Nanny Taxes At a Glance<\/h4>\n<p><!-- [et_pb_line_break_holder] -->[et_pb_section global_module=\"40768 \"][\/et_pb_section][\/et_pb_code][et_pb_text ul_item_indent=&#8221;40px&#8221; admin_label=&#8221;minimum wage &#8221; module_id=&#8221;minimum&#8221; _builder_version=&#8221;4.27.6&#8243; _module_preset=&#8221;_initial&#8221; link_font=&#8221;||||||||&#8221; header_2_text_color=&#8221;#212492&#8243; header_3_text_color=&#8221;#666666&#8243; header_4_font=&#8221;||||||||&#8221; header_4_text_color=&#8221;#666666&#8243; hover_enabled=&#8221;0&#8243; z_index_tablet=&#8221;500&#8243; global_colors_info=&#8221;{}&#8221; sticky_enabled=&#8221;0&#8243;]<\/p>\n<h2>Minimum Wage<\/h2>\n<p>Household employees must be paid at least the highest of the federal, state, or applicable local minimum wage rates. Maryland\u2019s state minimum wage of $15\/hour applies to household employers.<\/p>\n<ul>\n<li>In Montgomery County, the minimum wage rate is $15.50\/hour for small employers. This rate increases to $15.96\/hour on July 1, 2026.<\/li>\n<li>In Howard County, the minimum wage rate is $15.50\/hour for employers with less than 15 workers. The rate will increase to $16\/hour on July 1, 2026.<\/li>\n<li>In Prince George&#8217;s County, the minimum wage rate is $15.30\/hour.<\/li>\n<\/ul>\n<p>These local rates supersede the state minimum wage and become the applicable rate.<\/p>\n<p>[\/et_pb_text][et_pb_text ul_item_indent=&#8221;40px&#8221; admin_label=&#8221;overtime &#8221; module_id=&#8221;overtime&#8221; _builder_version=&#8221;4.27.6&#8243; _module_preset=&#8221;_initial&#8221; link_font=&#8221;||||||||&#8221; header_2_text_color=&#8221;#212492&#8243; header_3_text_color=&#8221;#666666&#8243; header_4_font=&#8221;||||||||&#8221; header_4_text_color=&#8221;#666666&#8243; z_index_tablet=&#8221;500&#8243; global_colors_info=&#8221;{}&#8221;]<\/p>\n<h2>Overtime Pay Rules<\/h2>\n<p>Household employees in Maryland must be paid at least time-and-a-half for hours worked over 40 in a seven-day workweek. Overtime compensation is not required when work is performed on a holiday. Live-in employees are <em>not<\/em>\u00a0excluded from Maryland\u2019s overtime laws.<\/p>\n<p>[\/et_pb_text][et_pb_text ul_item_indent=&#8221;40px&#8221; admin_label=&#8221;State Unemployment Tax &#038; Rate header&#8221; module_id=&#8221;unemployment&#8221; _builder_version=&#8221;4.27.6&#8243; _module_preset=&#8221;_initial&#8221; link_font=&#8221;||||||||&#8221; header_2_text_color=&#8221;#212492&#8243; header_3_text_color=&#8221;#666666&#8243; header_4_font=&#8221;||||||||&#8221; header_4_text_color=&#8221;#666666&#8243; z_index_tablet=&#8221;500&#8243; global_colors_info=&#8221;{}&#8221;]<\/p>\n<h2>State Unemployment Tax &amp; Rate<\/h2>\n<p>In Maryland, the new employer SUI (state unemployment insurance) rate is 2.6 percent on the first $8,500 of each employee&#8217;s wages. Employers with previous employees may be subject to a different rate. This is an employer-only tax.<\/p>\n<p>[\/et_pb_text][et_pb_text ul_item_indent=&#8221;40px&#8221; admin_label=&#8221;workers comp &#8221; module_id=&#8221;workerscomp&#8221; _builder_version=&#8221;4.27.6&#8243; _module_preset=&#8221;_initial&#8221; link_font=&#8221;||||||||&#8221; header_2_text_color=&#8221;#212492&#8243; header_3_text_color=&#8221;#666666&#8243; header_4_font=&#8221;||||||||&#8221; header_4_text_color=&#8221;#666666&#8243; z_index_tablet=&#8221;500&#8243; global_colors_info=&#8221;{}&#8221;]<\/p>\n<h2>Workers\u2019 Compensation Insurance<\/h2>\n<p>Household employers in Maryland must have a workers\u2019 compensation policy for any household employee whose earnings from a private household are $1,000 or more in any calendar quarter. Household employers and their workers may jointly elect for coverage, even if the employee doesn\u2019t meet the earnings requirement. <a href=\"https:\/\/gtm.com\/household\/benefits-insurance\/get-a-quote\/\">Get a quote on workers\u2019 compensation insurance<\/a>.<\/p>\n<p>[\/et_pb_text][et_pb_text ul_item_indent=&#8221;40px&#8221; admin_label=&#8221;Disability Benefits Insurance&#8221; module_id=&#8221;disability&#8221; _builder_version=&#8221;4.27.6&#8243; _module_preset=&#8221;_initial&#8221; link_font=&#8221;||||||||&#8221; header_2_text_color=&#8221;#212492&#8243; header_3_text_color=&#8221;#666666&#8243; header_4_font=&#8221;||||||||&#8221; header_4_text_color=&#8221;#666666&#8243; z_index_tablet=&#8221;500&#8243; global_colors_info=&#8221;{}&#8221;]<\/p>\n<h2>Disability Benefits Insurance<\/h2>\n<p>Maryland does not have disability benefits insurance requirements related to household employment.<\/p>\n<p>[\/et_pb_text][et_pb_text ul_item_indent=&#8221;40px&#8221; admin_label=&#8221;domestic workers bill of rights &#8221; module_id=&#8221;domestic&#8221; _builder_version=&#8221;4.27.6&#8243; _module_preset=&#8221;_initial&#8221; link_font=&#8221;||||||||&#8221; header_2_text_color=&#8221;#212492&#8243; header_3_text_color=&#8221;#666666&#8243; header_4_font=&#8221;||||||||&#8221; header_4_text_color=&#8221;#666666&#8243; z_index_tablet=&#8221;500&#8243; global_colors_info=&#8221;{}&#8221;]<\/p>\n<h2>Domestic Workers\u2019 Bill of Rights<\/h2>\n<h3>Montgomery County Domestic Worker Law<\/h3>\n<p>Montgomery County\u2019s Domestic Worker Law requires employers to present a written contract to household employees and offer to negotiate employment terms. A household employee can voluntarily agree to work without a contract only if the employer and employee sign a disclosure statement. The contract must include:<\/p>\n<ul>\n<li>Work Schedule (days\/hours)<\/li>\n<li>Duties<\/li>\n<li>Whether an employer can require workers to perform additional duties<\/li>\n<li>Wages<\/li>\n<li>How often the worker will be paid<\/li>\n<li>Deductions<\/li>\n<li>Overtime pay<\/li>\n<li>Sick Leave<\/li>\n<li>Vacation Time<\/li>\n<li>Holidays<\/li>\n<li>Living accommodations to be provided (if a live-in employee)<\/li>\n<li>Deductions for food and lodging, if any<\/li>\n<li>Severance pay, if any<\/li>\n<li>Notice required before termination of the contract<\/li>\n<li>Length of the contract<\/li>\n<li>Reimbursement for work-related expenses<\/li>\n<li>Notice of employment rights under Maryland law<\/li>\n<\/ul>\n<p><a href=\"https:\/\/www.montgomerycountymd.gov\/OCP\/Resources\/Files\/domestic\/DW_Model_Contract_062024.pdf\" target=\"_blank\" rel=\"noopener\">Download a model contract<\/a><\/p>\n<p><a href=\"https:\/\/www.montgomerycountymd.gov\/OCP\/domestic\/index.html\" target=\"_blank\" rel=\"noopener\">More information on Montgomery County&#8217;s Domestic Worker Law<\/a>.<\/p>\n<p>[\/et_pb_text][et_pb_text ul_item_indent=&#8221;40px&#8221; admin_label=&#8221;paid leave &#8221; module_id=&#8221;paidleave&#8221; _builder_version=&#8221;4.27.6&#8243; _module_preset=&#8221;_initial&#8221; link_font=&#8221;||||||||&#8221; header_2_text_color=&#8221;#212492&#8243; header_3_text_color=&#8221;#666666&#8243; header_4_font=&#8221;||||||||&#8221; header_4_text_color=&#8221;#666666&#8243; z_index_tablet=&#8221;500&#8243; global_colors_info=&#8221;{}&#8221;]<\/p>\n<h2>Paid Leave Laws<\/h2>\n<h3>Maryland Family and Medical Leave<\/h3>\n<p>Maryland has established a Family and Medical Leave Insurance Program (FAMLI) that covers nearly all employers and full- and part-time workers in the state, including household employers and their workers.<\/p>\n<p>Household employees who have worked at least 680 hours over the 12-month period immediately preceding the start date of their leave will have up to 12 weeks of paid family and medical annually for qualified reasons with the possibility of an additional 12 weeks of paid parental leave.<\/p>\n<p>Qualified reasons include:<\/p>\n<ul>\n<li>caring for or bonding with a newborn child or child newly placed for adoption, foster care, or kinship care<\/li>\n<li>caring for a family member with a serious health condition<\/li>\n<li>attending to the employee\u2019s own serious health condition<\/li>\n<li>caring for a next of kin military service member with a serious health condition resulting from military service<\/li>\n<li>attending to \u201cqualifying exigencies\u201d arising from a family member\u2019s deployment to military service<\/li>\n<\/ul>\n<p>Workers can receive up to 90 percent of their weekly wages in benefits up to $1,000\/week. Lower-income employees will receive a greater percentage of their wages than higher earners. Paid leave benefits will be paid directly by the state to eligible employees.<\/p>\n<p>Benefits will be available beginning January 1, 2028.<\/p>\n<p>FAMLI will be funded through a payroll tax that will begin on January 1, 2027, and quarterly wage and hour reports will be electronically submitted starting in April 2027.<\/p>\n<p>The state labor department set the contribution rate at 0.9 percent of an employee&#8217;s wages up to the Social Security wage cap ($184,500 in 2026), split equally between employers and employees (0.45 percent each). Small employers (those with fewer than 15 total employees) are only required to remit the employee contribution and may withhold that amount from employee pay. An employer could voluntarily elect to pay their employee\u2019s contribution.<\/p>\n<p>Household employers will be required to <a href=\"https:\/\/paidleave.maryland.gov\/Pages\/default.aspx\" target=\"_blank\" rel=\"noopener\">register online on the FAMLI website<\/a> starting in Fall 2026.<\/p>\n<p><a href=\"https:\/\/paidleave.maryland.gov\/Pages\/default.aspx\" target=\"_blank\" rel=\"noopener\">Learn more about Maryland Family and Medical Leave<\/a>.<\/p>\n<p><a href=\"https:\/\/paidleave.maryland.gov\/employers\/Pages\/home.aspx\" target=\"_blank\" rel=\"noopener\">Employer info on FAMLI<\/a><\/p>\n<h3>Montgomery County Paid Sick Leave<\/h3>\n<p>Household employers in Montgomery County with fewer than five workers must provide each employee with both paid and unpaid\u00a0<a href=\"https:\/\/www.peoples-law.org\/montgomery-county-earned-sick-and-safe-leave\" target=\"_blank\" rel=\"noopener\">sick and safe leave<\/a>.<\/p>\n<p>Leave accrues at a rate of one hour of paid time for every 30 hours of work performed within the county. Each employee can accrue up to 32 hours of paid leave and 24 hours of unpaid leave in a calendar year. Employees can use up to 80 hours of earned sick and safe leave in any calendar year.<\/p>\n<p>[\/et_pb_text][et_pb_text ul_item_indent=&#8221;40px&#8221; admin_label=&#8221;other regs &#8221; module_id=&#8221;other&#8221; _builder_version=&#8221;4.27.6&#8243; _module_preset=&#8221;_initial&#8221; link_font=&#8221;||||||||&#8221; header_2_text_color=&#8221;#212492&#8243; header_3_text_color=&#8221;#666666&#8243; header_4_font=&#8221;||||||||&#8221; header_4_text_color=&#8221;#666666&#8243; z_index_tablet=&#8221;500&#8243; global_colors_info=&#8221;{}&#8221;]<\/p>\n<h2>Other State Regulations<\/h2>\n<h3>Pay Transparency<\/h3>\n<p>Maryland\u2019s Wage Range Transparency law requires employers to provide information about compensation and benefits in their job postings, including:<\/p>\n<ul>\n<li>pay range, with the minimum and maximum wage<\/li>\n<li>general description of benefits<\/li>\n<li>any other compensation elements offered for the position<\/li>\n<\/ul>\n<p>The requirements apply to any public posting for a position for work that will be physically\u00a0performed, at least in part, in Maryland. A \u201cposting\u201d under this law is defined as \u201ca solicitation intended to recruit applicants for a specific available position.\u201d Even if an\u00a0 employer doesn\u2019t create a posting for an available position, they must still disclose the same information required on postings \u201cbefore a discussion of compensation is held with the applicant; and at any other time on request of the applicant.\u201d<\/p>\n<p><a href=\"https:\/\/labor.maryland.gov\/labor\/wages\/esscompensationdisclosureform.pdf\" target=\"_blank\" rel=\"noopener\">Sample Compensation Disclosure Form<\/a><\/p>\n<p>Employers are prohibited from refusing to interview, hire, or employ an applicant for requesting a wage range, refusing to provide their wage history, or exercising any other rights under the law.<\/p>\n<p>Employers must also keep a record of compliance with the new pay disclosure requirements for each position for at least three years after the position is filled, or, if the position is not filled, three years from when it was initially posted.<\/p>\n<p><a href=\"https:\/\/www.labor.maryland.gov\/labor\/wages\/esswagerangefaq.shtml\" target=\"_blank\" rel=\"noopener\">Learn more about Equal Work for Equal Pay<\/a>.<\/p>\n<h3>Pay Stub and Pay Statement Law<\/h3>\n<p>The state\u2019s Pay Stub and Pay Statement law requires employers to provide workers with pay stubs or online pay statements that include:<\/p>\n<ul>\n<li>Employer\u2019s name, address, and phone number<\/li>\n<li>Date of payment and the beginning and end dates of the pay period<\/li>\n<li>Number of hours worked during the pay period<\/li>\n<li>Pay rate<\/li>\n<li>Gross and net pay earnings during the pay period<\/li>\n<li>Amount and names of all deductions<\/li>\n<\/ul>\n<p>At the time of hire, Maryland employers must provide written notices of pay rate, regular paydays, and leave benefits.<\/p>\n<p><a href=\"https:\/\/www.labor.maryland.gov\/labor\/wages\/esspaystubfaq.shtml\" target=\"_blank\" rel=\"noopener\">Learn more about the Pay Stub and Pay Statement Law<\/a>.<\/p>\n<h3>Final Pay<\/h3>\n<p>Upon termination, household employees must be paid all wages due on or before what would have been their next regular payday. Accrued and unused vacation or PTO must be paid unless the family has a policy stating it will not be paid out.<\/p>\n<p>[\/et_pb_text][et_pb_text ul_item_indent=&#8221;40px&#8221; admin_label=&#8221;helpful links section &#8221; module_id=&#8221;helpful&#8221; _builder_version=&#8221;4.27.4&#8243; _module_preset=&#8221;_initial&#8221; link_font=&#8221;||||||||&#8221; header_2_text_color=&#8221;#212492&#8243; header_3_text_color=&#8221;#666666&#8243; header_4_font=&#8221;||||||||&#8221; header_4_text_color=&#8221;#666666&#8243; z_index_tablet=&#8221;500&#8243; global_colors_info=&#8221;{}&#8221;]<\/p>\n<h2>Helpful Links for Nanny Taxes in Maryland<\/h2>\n<ul>\n<li><a href=\"https:\/\/www.dllr.state.md.us\/\" target=\"_blank\" rel=\"noopener noreferrer\">Maryland Department of Labor, Licensing &amp; Regulation<\/a><\/li>\n<li><a href=\"https:\/\/taxes.marylandtaxes.gov\/\" target=\"_blank\" rel=\"noopener noreferrer\">Comptroller of Maryland<\/a><\/li>\n<\/ul>\n<p>[\/et_pb_text][et_pb_text ul_item_indent=&#8221;40px&#8221; admin_label=&#8221;Federal Regulations&#8221; module_id=&#8221;federalregulations&#8221; _builder_version=&#8221;4.27.5&#8243; _module_preset=&#8221;_initial&#8221; link_font=&#8221;||||||||&#8221; header_2_text_color=&#8221;#212492&#8243; header_3_text_color=&#8221;#666666&#8243; header_4_font=&#8221;||||||||&#8221; header_4_text_color=&#8221;#666666&#8243; background_size=&#8221;initial&#8221; background_position=&#8221;top_left&#8221; background_repeat=&#8221;repeat&#8221; z_index_tablet=&#8221;500&#8243; box_shadow_horizontal_tablet=&#8221;0px&#8221; box_shadow_vertical_tablet=&#8221;0px&#8221; box_shadow_blur_tablet=&#8221;40px&#8221; box_shadow_spread_tablet=&#8221;0px&#8221; use_border_color=&#8221;off&#8221; global_module=&#8221;41586&#8243; saved_tabs=&#8221;all&#8221; global_colors_info=&#8221;{}&#8221;]<\/p>\n<h2>Federal Regulations<\/h2>\n<p>All household employers need to follow certain federal regulations, including:<\/p>\n<h3>Fair Labor Standards Act (FLSA) Classification Guidelines<\/h3>\n<ul>\n<li>Household workers are considered employees and not independent contractors. Learn more about <a href=\"https:\/\/www.dol.gov\/agencies\/whd\/flsa\/misclassification\" target=\"_blank\" rel=\"noopener noreferrer\">misclassifying employees as independent contractors<\/a>.<\/li>\n<li>Household workers are also non-exempt employees, meaning they receive at least time-and-a-half for hours worked over 40 per workweek. Learn more about <a href=\"https:\/\/www.dol.gov\/whd\/overtime_pay.htm\">overtime pay<\/a>.<\/li>\n<\/ul>\n<h3>FICA Taxes<\/h3>\n<p>Social Security and Medicare taxes are commonly referred to as FICA taxes.<\/p>\n<p>If you pay cash wages of $3,000 or more to any household employee in 2026 (or paid a domestic worker $2,800 or more in 2025), you must withhold and pay FICA taxes. FICA taxes are 15.3 percent of cash wages.<\/p>\n<p>As an employer, you pay 7.65 percent (6.2 percent for Social Security and 1.45 percent for Medicare).<\/p>\n<p>Your employee&#8217;s share is also 7.65 percent, which you may withhold from their wages or pay yourself.<\/p>\n<p>You don&#8217;t withhold or owe FICA taxes on wages you pay to your spouse, child under the age of 21, parent, or any employee under 18 at any time during the calendar year.<\/p>\n<h3>Federal Unemployment Tax (FUTA)<\/h3>\n<p>If you pay a household employee total cash wages of $1,000 or more in any calendar quarter, you&#8217;ll owe federal unemployment tax. This is an employer-only tax. FUTA is 6% of cash wages on the first $7,000 of wages paid to an employee.<\/p>\n<h3>Mileage Reimbursement<\/h3>\n<p>If your employee uses their own car in the course of their work, you can reimburse them for mileage. For 2026, the IRS has set the optional standard mileage rate at 72.5 cents per mile driven. Paying mileage is not mandatory in most states, and you can reimburse your employee at a different rate. However, if mileage costs cause your employee to fall below the minimum wage, you must reimburse them for mileage.<\/p>\n<h3>Remitting Taxes Quarterly<\/h3>\n<p>Household employers can remit taxes, including FICA, employee income, and federal unemployment, quarterly using <a href=\"https:\/\/www.irs.gov\/forms-pubs\/about-form-1040-es\" target=\"_blank\" rel=\"noopener\">Form 1040-ES<\/a>. If a household employer does not remit their taxes quarterly, the entire amount will be due when they file their personal tax return. This could cause an underpayment penalty.<\/p>\n<h3>Year-End Requirements<\/h3>\n<p>By January 31, household employers must provide <a href=\"https:\/\/www.irs.gov\/forms-pubs\/about-form-w-2\" target=\"_blank\" rel=\"noopener\">Form W-2<\/a> to their employees and submit <a href=\"https:\/\/www.irs.gov\/forms-pubs\/about-form-w-3\" target=\"_blank\" rel=\"noopener\">Form W-3<\/a> and Copy A of Form W-2 to the Social Security Administration. Then, a household employer must file <a href=\"https:\/\/www.irs.gov\/forms-pubs\/about-schedule-h-form-1040\" target=\"_blank\" rel=\"noopener\">Schedule H<\/a> with their personal tax return. Learn more: <a href=\"https:\/\/gtm.com\/household\/how-to-file-schedule-h\/\">How to File Schedule H<\/a><\/p>\n<p>[\/et_pb_text][\/et_pb_column][\/et_pb_row][\/et_pb_section][et_pb_section fb_built=&#8221;1&#8243; custom_padding_last_edited=&#8221;off|desktop&#8221; admin_label=&#8221;2025 Blue Call to Action &#8211; HH Payroll&#8221; _builder_version=&#8221;4.27.4&#8243; _module_preset=&#8221;_initial&#8221; background_color=&#8221;#438dd8&#8243; custom_padding=&#8221;10px||10px||true|false&#8221; background_last_edited=&#8221;on|desktop&#8221; background_color_gradient_direction_tablet=&#8221;180deg&#8221; global_module=&#8221;40548&#8243; saved_tabs=&#8221;all&#8221; locked=&#8221;off&#8221; collapsed=&#8221;off&#8221; global_colors_info=&#8221;{%22gcid-36fd78a7-34bc-404d-873c-dafa34efaae5%22:%91%22colorStart%22%93,%22#1d3557%22:%91%22background_color_gradient_stops%22%93}&#8221;][et_pb_row _builder_version=&#8221;4.27.4&#8243; _module_preset=&#8221;default&#8221; custom_padding=&#8221;||0px|||&#8221; global_colors_info=&#8221;{}&#8221;][et_pb_column type=&#8221;4_4&#8243; _builder_version=&#8221;4.27.4&#8243; _module_preset=&#8221;default&#8221; global_colors_info=&#8221;{}&#8221;][et_pb_heading title=&#8221;Questions? Get Help with Household Payroll&#8221; _builder_version=&#8221;4.27.4&#8243; _module_preset=&#8221;default&#8221; title_level=&#8221;h3&#8243; title_font=&#8221;Montserrat|Montserrat_weight|||||||&#8221; title_text_align=&#8221;center&#8221; title_text_color=&#8221;#FFFFFF&#8221; title_font_size=&#8221;32px&#8221; title_line_height=&#8221;1.2em&#8221; custom_margin=&#8221;||10px||false|false&#8221; title_font_size_tablet=&#8221;28px&#8221; title_font_size_phone=&#8221;20px&#8221; title_font_size_last_edited=&#8221;on|phone&#8221; locked=&#8221;off&#8221; global_colors_info=&#8221;{}&#8221;][\/et_pb_heading][\/et_pb_column][\/et_pb_row][et_pb_row column_structure=&#8221;1_3,1_3,1_3&#8243; _builder_version=&#8221;4.27.4&#8243; _module_preset=&#8221;default&#8221; global_colors_info=&#8221;{}&#8221;][et_pb_column type=&#8221;1_3&#8243; _builder_version=&#8221;4.27.4&#8243; _module_preset=&#8221;default&#8221; global_colors_info=&#8221;{}&#8221;][et_pb_text quote_border_color=&#8221;#FFFFFF&#8221; _builder_version=&#8221;4.27.4&#8243; _module_preset=&#8221;_initial&#8221; text_font=&#8221;Lato|Lato_weight|||||||&#8221; text_text_color=&#8221;#FFFFFF&#8221; text_font_size=&#8221;16px&#8221; text_line_height=&#8221;1.75em&#8221; link_font=&#8221;||||on||||&#8221; link_text_color=&#8221;#FFFFFF&#8221; quote_font=&#8221;Montserrat|Montserrat_weight|||||||&#8221; quote_text_color=&#8221;#FFFFFF&#8221; header_font=&#8221;Montserrat|Montserrat_weight|||||||&#8221; header_text_color=&#8221;#FFFFFF&#8221; header_font_size=&#8221;72px&#8221; header_line_height=&#8221;1.15em&#8221; header_2_font=&#8221;Montserrat|Montserrat_weight|||||||&#8221; header_2_text_color=&#8221;#FFFFFF&#8221; header_2_font_size=&#8221;50px&#8221; header_2_line_height=&#8221;1.2em&#8221; header_3_font=&#8221;Montserrat|Montserrat_weight|||||||&#8221; header_3_text_color=&#8221;#FFFFFF&#8221; header_3_font_size=&#8221;32px&#8221; header_3_line_height=&#8221;1.3em&#8221; header_4_font=&#8221;Montserrat|Montserrat_weight|||||||&#8221; header_4_text_color=&#8221;#FFFFFF&#8221; header_4_font_size=&#8221;24px&#8221; header_4_line_height=&#8221;1.4em&#8221; header_5_font=&#8221;Montserrat|Montserrat_weight|||||||&#8221; header_5_text_color=&#8221;#FFFFFF&#8221; header_5_font_size=&#8221;18px&#8221; header_5_line_height=&#8221;1.4em&#8221; header_6_font=&#8221;Montserrat|Montserrat_weight|||||||&#8221; header_6_text_color=&#8221;#FFFFFF&#8221; header_6_line_height=&#8221;1.5em&#8221; custom_margin=&#8221;||||false|false&#8221; custom_padding=&#8221;40px||||false|false&#8221; custom_padding_tablet=&#8221;0px||||false|false&#8221; custom_padding_phone=&#8221;&#8221; custom_padding_last_edited=&#8221;on|tablet&#8221; text_font_size_tablet=&#8221;15px&#8221; text_font_size_phone=&#8221;14px&#8221; text_font_size_last_edited=&#8221;on|phone&#8221; header_font_size_tablet=&#8221;40px&#8221; header_font_size_phone=&#8221;24px&#8221; header_font_size_last_edited=&#8221;on|desktop&#8221; header_2_font_size_tablet=&#8221;28px&#8221; header_2_font_size_phone=&#8221;20px&#8221; header_2_font_size_last_edited=&#8221;on|phone&#8221; header_3_font_size_tablet=&#8221;22px&#8221; header_3_font_size_phone=&#8221;17px&#8221; header_3_font_size_last_edited=&#8221;on|phone&#8221; header_4_font_size_tablet=&#8221;18px&#8221; header_4_font_size_phone=&#8221;15px&#8221; header_4_font_size_last_edited=&#8221;on|tablet&#8221; header_5_font_size_tablet=&#8221;15px&#8221; header_5_font_size_phone=&#8221;14px&#8221; header_5_font_size_last_edited=&#8221;on|desktop&#8221; header_6_font_size_tablet=&#8221;13px&#8221; header_6_font_size_phone=&#8221;13px&#8221; header_6_font_size_last_edited=&#8221;on|desktop&#8221; locked=&#8221;off&#8221; global_colors_info=&#8221;{}&#8221;]<\/p>\n<p>A household payroll expert can answer questions you have about your own situation.<\/p>\n<p>Call or chat with us during business hours, or schedule a free consultation at your convenience.<\/p>\n<p>[\/et_pb_text][\/et_pb_column][et_pb_column type=&#8221;1_3&#8243; _builder_version=&#8221;4.27.4&#8243; _module_preset=&#8221;default&#8221; global_colors_info=&#8221;{}&#8221;][et_pb_image src=&#8221;https:\/\/gtm.com\/household\/wp-content\/uploads\/2025\/03\/NeedHelp-illustration.png&#8221; title_text=&#8221;NeedHelp-illustration&#8221; _builder_version=&#8221;4.27.4&#8243; _module_preset=&#8221;_initial&#8221; border_radii=&#8221;on|6px|6px|6px|6px&#8221; global_colors_info=&#8221;{}&#8221;][\/et_pb_image][et_pb_text _builder_version=&#8221;4.27.4&#8243; _module_preset=&#8221;_initial&#8221; text_font=&#8221;Lato||||||||&#8221; text_text_color=&#8221;#FFFFFF&#8221; text_font_size=&#8221;16px&#8221; header_2_text_color=&#8221;#666666&#8243; header_3_text_color=&#8221;#FFFFFF&#8221; global_colors_info=&#8221;{}&#8221;]<\/p>\n<h3 style=\"text-align: center;\">Call Toll Free: <span style=\"text-decoration: underline;\"><a href=\"tel:\/\/1800-929-9213\">800-929-9213<\/a><\/span><\/h3>\n<p style=\"text-align: center;\">Hours: Mon-Fri 8:30 am &#8211; 8pm, ET<\/p>\n<p>[\/et_pb_text][\/et_pb_column][et_pb_column type=&#8221;1_3&#8243; _builder_version=&#8221;4.27.4&#8243; _module_preset=&#8221;default&#8221; global_colors_info=&#8221;{}&#8221;][et_pb_button button_url=&#8221;https:\/\/outlook.office.com\/book\/GTMPayrollServicesHouseholdPayrollandTaxConsultation@gtm.com\/&#8221; url_new_window=&#8221;on&#8221; button_text=&#8221;Schedule a Free Consultation&#8221; button_alignment=&#8221;center&#8221; admin_label=&#8221;consultatio button&#8221; _builder_version=&#8221;4.27.4&#8243; _module_preset=&#8221;default&#8221; custom_button=&#8221;on&#8221; button_text_size=&#8221;14px&#8221; button_text_color=&#8221;#1d3557&#8243; button_bg_color=&#8221;#FFFFFF&#8221; button_border_width=&#8221;0px&#8221; button_border_radius=&#8221;100px&#8221; button_font=&#8221;Lato|700|||||||&#8221; button_icon=&#8221;&#xf274;||fa||400&#8243; button_icon_placement=&#8221;left&#8221; button_on_hover=&#8221;off&#8221; custom_margin=&#8221;48px||||false|false&#8221; custom_margin_tablet=&#8221;0px||||false|false&#8221; custom_margin_phone=&#8221;&#8221; custom_margin_last_edited=&#8221;on|tablet&#8221; custom_padding=&#8221;12px|15px|12px|30px|true|false&#8221; custom_padding_last_edited=&#8221;off|desktop&#8221; locked=&#8221;off&#8221; global_colors_info=&#8221;{}&#8221;][\/et_pb_button][et_pb_button button_url=&#8221;https:\/\/alive5.com\/7DWXAu5&#8243; url_new_window=&#8221;on&#8221; button_text=&#8221;Chat During Business Hours&#8221; button_alignment=&#8221;center&#8221; admin_label=&#8221;chat Button&#8221; _builder_version=&#8221;4.27.4&#8243; _module_preset=&#8221;default&#8221; custom_button=&#8221;on&#8221; button_text_size=&#8221;14px&#8221; button_text_color=&#8221;#1d3557&#8243; button_bg_color=&#8221;#FFFFFF&#8221; button_border_width=&#8221;0px&#8221; button_border_radius=&#8221;100px&#8221; button_font=&#8221;Lato|700|||||||&#8221; button_icon=&#8221;&#x77;||divi||400&#8243; button_icon_placement=&#8221;left&#8221; button_on_hover=&#8221;off&#8221; custom_padding=&#8221;12px|18px|12px|36px|true|false&#8221; locked=&#8221;off&#8221; global_colors_info=&#8221;{}&#8221;][\/et_pb_button][\/et_pb_column][\/et_pb_row][\/et_pb_section]<\/p>\n","protected":false},"excerpt":{"rendered":"<p>At a Glance Minimum Wage Overtime Pay Rules State Unemployment Tax &amp; Rate Workers\u2019 Compensation Insurance Disability Benefits Insurance Domestic Workers\u2019 Bill of Rights Paid Leave Laws Other State Regulations Helpful Links Federal Regulations Labor Law Compliance Hiring &amp; Managing Employees Costs &amp; Employee Benefits Payroll &amp; Taxes Nanny Tax Calculator Complete Guide to Household [&hellip;]<\/p>\n","protected":false},"author":6,"featured_media":0,"parent":0,"menu_order":0,"comment_status":"closed","ping_status":"closed","template":"","meta":{"_et_pb_use_builder":"on","_et_pb_old_content":"<p><img class=\"alignright wp-image-11099 size-medium\" src=\"https:\/\/gtm.com\/household\/wp-content\/uploads\/664px-Flag-map_of_Maryland.svg_-300x158.png\" alt=\"maryland\" width=\"300\" height=\"158\" \/>Household employers must comply with all tax and wage laws that affect nannies and other domestic workers. While federal laws cover employers in all states, there are state-specific and city-specific rules and regulations that employers must also abide by.<\/p><p>Here are the laws affecting household employment in Maryland.<\/p><p><strong>Minimum Wage<\/strong><\/p><ul><li>In Maryland, the current minimum wage is $8.75 per hour.<ul><li>In Prince George's County, the current minimum wage is $10.75 per hour.<\/li><li>In Montgomery County, the current minimum wage is $10.75\u00a0per hour.<\/li><\/ul><\/li><\/ul><p><strong>Workers' Compensation Requirements<\/strong><\/p><p>Household employers in Maryland are required to have a workers' compensation policy\u00a0for any domestic worker whose earnings are $1000 or more in any calendar quarter from a private household. Domestic servants and their employers jointly may elect for the employee to be covered, even if the individual does not meet the earnings requirement.<\/p><p><strong>Overtime Rules<\/strong><\/p><p>Hourly employees in Maryland are entitled to a special overtime pay rate of at least 1.5 times their regular hourly wage for all overtime worked, if they work over 40 hours in a week.\u00a0Overtime pay is not required for live-in employees.<\/p><p><strong>New Employer SUI Rate<\/strong><\/p><p>This is the State Unemployment Insurance tax rate that all employers pay when they first become employers. Those with previous employees may be subject to a different rate.<\/p><ul><li>In Maryland, the New Employer SUI rate is 2.60%<\/li><\/ul><p><strong>Taxable Wage Base<\/strong><\/p><p>Also called\u00a0the Social Security Wage Base, this is the maximum income amount for\u00a0which employees must pay Social Security taxes. Employers will usually handle this calculation and withhold the correct taxes from each paycheck, but employees are\u00a0still responsible for reporting the tax.<\/p><ul><li>In Maryland, the Taxable Wage Base is $8,500<\/li><\/ul><p>\u00a0<\/p>","_et_gb_content_width":"","footnotes":""},"folder":[604],"class_list":["post-11155","page","type-page","status-publish","hentry"],"yoast_head":"<!-- This site is optimized with the Yoast SEO plugin v27.4 - https:\/\/yoast.com\/product\/yoast-seo-wordpress\/ -->\n<title>Nanny Taxes &amp; Payroll Rules in Maryland [Updated for 2026]<\/title>\n<meta name=\"description\" content=\"Here are the nanny tax laws in Maryland that a household employer must comply with when hiring someone to work in their home.\" \/>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<link rel=\"canonical\" href=\"https:\/\/gtm.com\/household\/household-employment-in-maryland\/\" \/>\n<meta property=\"og:locale\" content=\"en_US\" \/>\n<meta property=\"og:type\" content=\"article\" \/>\n<meta property=\"og:title\" content=\"Nanny Taxes &amp; 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