{"id":11159,"date":"2016-12-27T12:21:14","date_gmt":"2016-12-27T17:21:14","guid":{"rendered":"https:\/\/gtm.com\/household\/?page_id=11159"},"modified":"2026-01-27T12:44:28","modified_gmt":"2026-01-27T17:44:28","slug":"household-employment-in-minnesota","status":"publish","type":"page","link":"https:\/\/gtm.com\/household\/household-employment-in-minnesota\/","title":{"rendered":"Nanny Taxes in Minnesota"},"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;4.27.4&#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;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;4.27.5&#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;4.27.4&#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=\"40788 \"][\/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;4.27.4&#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>Minimum Wage<\/h2>\n<p>Household employees must be paid at least the highest of the federal, state, or applicable local minimum wage rates. Minnesota\u2019s state minimum wage of $11.13\/hour for all employers \u2014 including households \u2014 applies, and it will also be the rate for training wages (for employees younger than 20 years of age for the first 90 consecutive days of employment) and youth wages (for employees younger than 18 years of age).<\/p>\n<p>In Minneapolis, the current local minimum wage rate is $15.97\/hour for all employers.<\/p>\n<p>In St. Paul, the local minimum wage rate is $13.25\/hour for employers with five or fewer employees. The rate will increase to $14.25 on July 1, 2026.<\/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;4.27.4&#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>Overtime Pay Rules<\/h2>\n<p>Household employees in Minnesota are required to be paid at least time and a half for hours worked over 40 in a seven-day workweek. Overtime compensation is not required for live-in employees until they reach 48 hours in a workweek.<\/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;4.27.4&#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>State Unemployment Tax &amp; Rate<\/h2>\n<p>Minnesota\u2019s new employer SUI (state unemployment insurance) rate is 1.00 percent on each employee\u2019s first $43,000 of 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;4.27.4&#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>Workers\u2019 Compensation Insurance<\/h2>\n<p>Household employers in Minnesota must have a workers\u2019 compensation policy for any household worker who earns more than $1,000 in any quarter.\u00a0<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;4.27.4&#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>Disability Benefits Insurance<\/h2>\n<p>The state has no disability benefits rules related to nanny tax and payroll.<\/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;4.27.4&#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>Domestic Workers\u2019 Bill of Rights<\/h2>\n<p class=\"p1\"><span class=\"s1\">The state has no domestic workers&#8217; bill of rights.<\/span><\/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;4.27.5&#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; hover_enabled=&#8221;0&#8243; z_index_tablet=&#8221;500&#8243; global_colors_info=&#8221;{}&#8221; sticky_enabled=&#8221;0&#8243;]<\/p>\n<h2>Paid Leave Laws<\/h2>\n<h3>Minnesota Paid Family and Medical Leave<\/h3>\n<p>Minnesota\u2019s paid family and medical leave (PFML) provides workers, including household employees, with up to 20 weeks of paid, job-protected leave for family and medical reasons.<\/p>\n<p>Employer and employee contributions began on January 1, 2026, the same date benefits became available<\/p>\n<p>Employers must submit quarterly wage reports to the state for PFML purposes.<\/p>\n<p>An employer must also <a href=\"https:\/\/pl.mn.gov\/toolkits\/employer-resource-toolkit#section-281-required-posters-and-notices\" target=\"_blank\" rel=\"noopener\">provide written notice to employees<\/a> within 30 days of their start date. In addition, an employer must <a href=\"https:\/\/pl.mn.gov\/toolkits\/employer-resource-toolkit#section-281-required-posters-and-notices\" target=\"_blank\" rel=\"noopener\">display a poster that provides notice of PFML benefits<\/a>.<\/p>\n<p>After 90 days of employment, all employees, except seasonal employees and independent contractors, are eligible to participate in PFML. The amount of benefits available is based on a progression scale: lower-income workers receive a higher percentage of their wages while on leave, while higher-income workers receive a lower percentage.<\/p>\n<p>PFML may be used for:<\/p>\n<ul>\n<li>a serious health condition<\/li>\n<li>a qualifying exigency<\/li>\n<li>safety leave<\/li>\n<li>family care<\/li>\n<li>new child bonding or medical care related to pregnancy.<\/li>\n<\/ul>\n<p>Qualifying events must last at least seven calendar days, except for child-bonding leave.<\/p>\n<p>Employees can receive up to 12 weeks of paid leave for serious health conditions or pregnancy, and 12 weeks for bonding, safety, and family leave. However, the leave is capped at 20 weeks per benefit year.<\/p>\n<p>PFML provides partial wage compensation based on income, capped at the state\u2019s average weekly wage.<\/p>\n<p>Employers and employees fund PFML equally through quarterly payroll contributions remitted to the state by employers. The contribution rate is adjusted annually, starting at 0.7% of wages in 2026. Employers with fewer than 30 workers receive a discount on contributions according to a formula in the law.<\/p>\n<p>By April 30, 2026, employers must begin depositing these premium contributions, based on wages earned between January 1, 2026, and March 31, 2026, with the Department of Employment and Economic Development (DEED).<\/p>\n<p><a href=\"https:\/\/mn.gov\/deed\/paidleave\/employers\/\" target=\"_blank\" rel=\"noopener\">Learn more about Minnesota Paid Family and Medical Leave<\/a>.<\/p>\n<h3>Minnesota Earned Sick and Safe Time<\/h3>\n<p>Minnesota\u2019s earned sick and safe time law requires employers, including household employers, to provide paid leave to employees who work in the state.<\/p>\n<p>Sick and safe time is paid leave that employees in Minnesota can use for specific reasons, including when they are ill, to care for a sick family member, or to seek assistance if they or a family member has experienced domestic abuse.<\/p>\n<p>A household employee is eligible for sick and safe time if they work at least 80 hours in a year for a family in Minnesota. Temporary and part-time household employees are eligible for sick and safe time.<\/p>\n<p>An employee earns one hour of sick and safe time for every 30 hours worked and can earn a maximum of 48 hours each year unless the employer agrees to a higher amount.<\/p>\n<p>An employer can advance earned sick and safe time to an employee based on the number of hours the employee is anticipated to work for the remaining portion of an accrual year. If the advanced amount is less than the amount the employee would have accrued based on the actual hours worked, the employer must provide additional earned sick and safe time to make up the difference.<\/p>\n<p>Employees can use their earned sick and safe time for any of the following reasons:<\/p>\n<ul>\n<li>the employee\u2019s mental or physical illness, treatment, or preventive care<\/li>\n<li>a family member\u2019s mental or physical illness, treatment, or preventive care<\/li>\n<li>absence due to domestic abuse, sexual assault, or stalking of the employee or a family member<\/li>\n<li>closure of the employee\u2019s workplace due to weather or public emergency, or closure of a family member\u2019s school or care facility due to weather or public emergency<\/li>\n<li>when determined by a health authority or health care professional that the employee or family member is at risk of infecting others with a communicable disease<\/li>\n<li>attend a funeral or memorial, in addition to addressing financial or legal matters that arise after a family member\u2019s death<\/li>\n<\/ul>\n<p>Employees may use earned sick and safe time for the following family members:<\/p>\n<ul>\n<li>child, including a foster child, adult child, legal ward, a child for whom the employee is a legal guardian, or a child to whom the employee stands or stood in loco parentis (in place of a parent)<\/li>\n<li>spouse or registered domestic partner<\/li>\n<li>sibling, stepsibling, or foster sibling<\/li>\n<li>biological, adoptive, or foster parent, stepparent, or a person who stood in loco parentis (in place of a parent) when the employee was a minor child<\/li>\n<li>grandchild, foster grandchild, or step-grandchild<\/li>\n<li>grandparent or step-grandparent<\/li>\n<li>a child of a sibling of the employee<\/li>\n<li>a sibling of the parents of the employee<\/li>\n<li>a child-in-law or sibling-in-law<\/li>\n<li>any of the family members listed in 1 through 9 above of an employee\u2019s spouse or registered domestic partner<\/li>\n<li>any other individual related by blood or whose close association with the employee is the equivalent of a family relationship<\/li>\n<li>up to one individual annually designated by the employee<\/li>\n<\/ul>\n<p>When an employee uses ESST for an absence of two or more consecutive scheduled work days, an employer may require reasonable documentation that the absence was taken for a covered reason.<\/p>\n<p>Household employers are also required to:<\/p>\n<ul>\n<li>provide employees with their total number of ESST hours available and used each pay period on a written or electronic record<\/li>\n<li><a href=\"https:\/\/www.dli.mn.gov\/posters\" target=\"_blank\" rel=\"noopener\">provide employees with a notice at the start of employment<\/a>\u00a0\u2014 in English and in an employee\u2019s primary language if that is not English, informing them about earned sick and safe time<\/li>\n<li>include a sick and safe time notice in the employee handbook if the employer has an employee handbook<\/li>\n<\/ul>\n<p>Earned sick and safe time local ordinances already exist in Bloomington, Minneapolis, and St. Paul. Household employers in those cities must meet the most generous leave provisions and other protections of the applicable laws.<\/p>\n<h3>Bloomington Earned Sick and Safe Leave Ordinance<\/h3>\n<p>An earned sick and safe leave ordinance is in effect for workers in Bloomington. Employees will accrue at least one hour of sick and safe leave for every 30 hours worked up to a maximum of 48 hours in a calendar year. For employers with six or more workers, it would be paid time off. It would be unpaid time off for employers with five or fewer workers.<\/p>\n<p>An employee may use their accrued sick and safe time for their own mental or physical illness, injury, or health condition; to care for a family member with a mental or physical illness, injury, or health condition; and absences due to domestic abuse, sexual assault, or stalking of the employee or employee\u2019s family member, among other reasons.<\/p>\n<p>The meaning of a \u201cfamily member\u201d now matches the definition under the state\u2019s Earned Safe and Sick Time. A family member will include any \u201cindividual related by blood or whose close association with the employee is the equivalent of a family relationship, and up to one individual annually designated by the employee.\u201d<\/p>\n<p>The reasons an employee may use leave also now match the list in the state law. Bloomington\u2019s permitted reasons for leave no longer include the death of a family member. However, employees will be able to take leave when a healthcare professional or authority determines that an employee or their family member is at risk of infecting others with a communicable disease.<\/p>\n<p>An\u00a0employer\u00a0may satisfy the earned leave requirement by providing at least 48 hours of sick and\u00a0safe time\u00a0following the initial 90 days of employment for use by the\u00a0employee\u00a0during the first calendar year and providing at least 80 hours of sick and\u00a0safe time\u00a0beginning each subsequent\u00a0calendar year.<\/p>\n<p>Employers may provide employees with a lump sum of leave hours at the start of employment, rather than using the accrual method. However, employers who frontload leave hours must make them available for immediate use. Employers will also be able to require reasonable documentation to substantiate the reason for leave when the employee uses earned sick and safe time for more than three consecutive days.<\/p>\n<p><a href=\"https:\/\/www.bloomingtonmn.gov\/earned-sick-and-safe-leave-essl\" target=\"_blank\" rel=\"noopener\">Read more about Bloomington Earned Sick and Safe Leave<\/a>.<\/p>\n<h3>Minneapolis Sick and Safe Time<\/h3>\n<p>Minneapolis requires employers in the city to provide some access to leave. Employers with six or more workers must provide paid sick and safe time. Employers with five or fewer workers must also provide sick and safe time, but can choose to provide it unpaid.<\/p>\n<p>Coverage includes illness or injury, medical treatment or preventative care (including vaccines), domestic or sexual assault, and care of a family member.\u200b All types of employees \u2013 including part-time, temporary, or undocumented \u2013 are included.<\/p>\n<p>Employees accrue sick and safe time at the rate of one hour for every 30 hours worked in the city.<\/p>\n<p>Accrued and unused hours do not expire at the end of the benefit year (unless an employer chooses to front-load sick and safe time hours). Employers may set a cap on each employee\u2019s accrual. Employers must allow each employee to accrue at least 48 hours per year, carried over from year to year until an 80-hour maximum accrual cap is reached.<\/p>\n<p><a href=\"http:\/\/sicktimeinfo.minneapolismn.gov\/\" target=\"_blank\" rel=\"noopener\">Read more about Minneapolis Sick and Safe Time<\/a>.<\/p>\n<h3>Saint Paul Earned Sick and Safe Time<\/h3>\n<p>All Saint Paul employers with employees working in Saint Paul must provide Earned Sick and Safe Time (ESST) to their employees.<\/p>\n<p>ESST can be used for an employee\u2019s absence from work due to illness, medical appointments, or critical safety issues, including domestic violence, sexual assault, or stalking.<\/p>\n<p>An employee is any person employed by an employer, including temporary and part-time employees, who works for at least 80 hours a year for that employer in Minnesota. A \u201cfamily member\u201d includes an employee\u2019s relative, the relative of their spouse or registered domestic partner, any other individual with a close relation with the employee, and up to one individual annually designated by the employee.<\/p>\n<p>Employees accrue one hour of ESST for every 30 hours worked. They can begin accruing ESST on their start date of employment.<\/p>\n<p>Employees can accrue up to 80 hours of ESST in a year, unless their employer opts to give them more.<\/p>\n<p>If an employer has a PTO policy in place that meets the ordinance&#8217;s minimum requirements, the policy is sufficient, and the employer does not need to provide additional ESST.<\/p>\n<p>An employee can use ESST for leave related to making their home safer, along with relocating, as a result of domestic abuse, sexual assault, or stalking.<\/p>\n<p>Employees can also take leave when a healthcare professional or authority determines an employee or their family member is at risk of infecting others with a communicable disease.<\/p>\n<p>Employers must provide all employees with notice of ESST in their primary language. Employers must also provide an earnings statement at the end of each pay period that shows the ESST amounts accrued, used, and available during that period.<\/p>\n<p><a href=\"https:\/\/www.stpaul.gov\/departments\/human-rights-equal-economic-opportunity\/labor-standards-enforcement-and-education-1\" target=\"_blank\" rel=\"noopener\">Read more about Saint Paul Earned Safe and Sick Time<\/a>.<\/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;4.27.4&#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>Other State Regulations<\/h2>\n<p class=\"p1\"><span class=\"s1\">The state has no other regulations related to nanny tax and payroll.<\/span><\/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 Minnesota<\/h2>\n<ul>\n<li><a href=\"https:\/\/www.revenue.state.mn.us\/household-employees\" target=\"_blank\" rel=\"noopener\">Minnesota Department of Revenue \u2013 Household Employees Withholding Fact Sheet 7<\/a><\/li>\n<li><a href=\"https:\/\/www.dli.mn.gov\/\" target=\"_blank\" rel=\"noopener noreferrer\">Minnesota Department of Labor and Industry<\/a><\/li>\n<li><a href=\"https:\/\/mn.gov\/commerce\/\" target=\"_blank\" rel=\"noopener noreferrer\">Minnesota Department of Commerce<\/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; 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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 Minnesota.<\/p><p><strong>Minimum Wage<\/strong><\/p><ul><li>In Minnesota, the current minimum wage is $7.75 per hour for small employers, including households.<\/li><\/ul><p><strong>Workers' Compensation Requirements<\/strong><\/p><p>Household employers in Minnesota are required to have a workers' compensation policy\u00a0for any\u00a0household domestic worker that earns more than $1,000 in any quarter.<\/p><p><strong>Overtime Rules<\/strong><\/p><p>Hourly employees in Minnesota 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. Overtime compensation is not required for live-in employees until they reach 48 hours in a workweek.<\/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 Minnesota, the New Employer SUI rate is 1.44%<\/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 Minnesota, the Taxable Wage Base is $32,000<\/li><\/ul><p>\u00a0<\/p>","_et_gb_content_width":"","footnotes":""},"folder":[604],"class_list":["post-11159","page","type-page","status-publish","hentry"],"yoast_head":"<!-- This site is optimized with the Yoast SEO plugin v27.3 - https:\/\/yoast.com\/product\/yoast-seo-wordpress\/ -->\n<title>Nanny Taxes in Minnesota<\/title>\n<meta name=\"description\" content=\"Here are the laws around nanny taxes in Minnesota that a family 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-minnesota\/\" \/>\n<meta property=\"og:locale\" content=\"en_US\" \/>\n<meta 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