True Cost of a Nanny in Washington (2026)

Calculate true nanny costs in Washington. Seattle/Tukwila/state min wages, 40h overtime for live-in and non–live-in, no state income tax, WA Cares, PFML, SUI 1.53% on $78,200, mandatory L&I by the hour.

The Basics

The Schedule

Enter hours for each day worked. This will override Total Hours and Days per Week above for more precise overtime calculations.

Deductions & Options

Total Monthly Cost:$0.00

Frequently Asked Questions

What is the overtime rule for nannies in Washington?

In Washington, both live-in and non–live-in nannies must be paid 1.5x their regular hourly rate for hours over 40 in a week. Washington does not follow the federal live-in overtime exemption. There is no daily overtime—only weekly.

What is the minimum wage for a nanny in Washington?

As of January 1, 2026, the Washington state minimum wage is $17.13/hour for the remainder of the state. Seattle and Tukwila have higher minimum wages (e.g., Seattle $21.30, Tukwila $21.65 in 2026). You must pay the rate that applies to the location where the work is performed. Use the region selector in the calculator to apply the correct minimum.

Is there state income tax on nanny wages in Washington?

No. Washington has no state income tax on wages. You do not withhold state income tax from your nanny's pay. You still withhold federal income tax and FICA (Social Security and Medicare) as required by federal law.

Do I have to withhold WA Cares and PFML for my nanny in Washington?

Yes. You must withhold the WA Cares Fund (long-term care) contribution at 0.58% of gross wages from your nanny's pay. You must also withhold the employee share of Paid Family and Medical Leave (PFML) at 0.807% of wages, capped at $184500 per year for 2026. Small employers (under 50 employees) are generally exempt from paying the employer share of PFML but must still deduct and remit the employee's share.

When do I owe Washington unemployment (SUI) for my nanny?

You become liable for Washington unemployment insurance when you pay your household employee more than the state quarterly threshold in a calendar quarter. The rate for new employers is typically 1.5% on the first $78200 of wages per employee per year. You pay this as the employer; it is not deducted from the nanny's paycheck.

Do I need workers' compensation (L&I) for a nanny in Washington?

Yes. In Washington, workers' compensation (Industrial Insurance through L&I) is mandatory for household employees. It is calculated by the hour, not as a percentage of payroll. The nanny pays a small employee share (approximately $0.2089/hr); you pay the remainder. WA L&I Class 6510. Employee pays ~$0.21/hr, Employer pays ~$1.02/hr.

What are the sick leave rules for nannies in Washington?

Washington requires paid sick leave. Employees accrue at least 1 hour of paid sick leave for every 40 hours worked. Seattle may have additional requirements; check the Seattle Office of Labor Standards if your nanny works in Seattle.

Is My Nanny an Independent Contractor? (1099 vs W-2)

In Washington, a nanny is almost always a W-2 employee. You set the schedule, provide the workplace, and direct the childcare. The IRS and state treat household childcare workers as employees. Classifying a nanny as a 1099 contractor can lead to back taxes, penalties, and liability for unpaid employment taxes.

Are My Nanny Expenses Tax Deductible in Washington?

You may be able to claim the federal Child and Dependent Care Credit (CDCC) for qualifying childcare expenses, including nanny wages. The credit can be up to 35% of qualifying expenses, subject to limits. You generally need the nanny's name, address, and SSN (or TIN) on your return. Washington has no state income tax, so there is no separate state credit for nanny wages.

How Do I Keep Track of My Nanny's Hours Worked?

Use a time-tracking app or a spreadsheet (e.g., Google Sheets or Excel) to record hours. For compliance with overtime (40 hours/week for both live-in and non–live-in) and for L&I (which is calculated by the hour), accurate hour tracking is essential. We offer a Total Nanny Pay & Time Tracker Solution that can produce compliant pay stubs for Washington.

How to Calculate Washington Nanny Overtime

Washington has no daily overtime. Both live-in and non–live-in nannies get overtime after 40 hours in a week.

  • Formula: Overtime pay = (Total Weekly Hours − 40) × (1.5 × Hourly Rate)
  • Apply the same rule for live-in and non–live-in workers; Washington does not follow the federal live-in overtime exemption.

The 2026 Washington Nanny Tax Guide

Hiring a nanny in Washington means complying with strict overtime rules and some of the highest minimum wages in the country. Seattle's minimum wage is $21.30 per hour (2026); the remainder of the state uses $17.13 per hour (effective January 1, 2026). Unlike the federal Fair Labor Standards Act, Washington does not exempt live-in nannies from overtime: both live-in and non–live-in employees must be paid time-and-a-half for hours over 40 in a week. Washington has no state income tax on wages, but you must withhold WA Cares and the employee share of PFML, pay state unemployment (SUI), and carry mandatory workers' compensation (L&I) calculated by the hour. This guide and the Washington Nanny Pay Calculator above use only verified data so you can budget accurately and stay compliant.

Wage and Hour Laws: Region-Based Minimum Wages and 40-Hour Overtime

Washington minimum wage depends on where the work is performed. As of January 1, 2026:

  • Seattle: $21.30 per hour
  • Tukwila: $21.65 per hour
  • Remainder of State: $17.13 per hour

You must pay at least the rate that applies to the worksite. For overtime, Washington overrides the federal live-in exemption. Whether your nanny lives in or not, you must pay 1.5 times the regular rate for hours over 40 in a workweek. There is no daily overtime in Washington—only weekly. Use the calculator's region selector to apply the correct minimum wage and enter your schedule; the calculator applies weekly overtime for all nannies.

Taxes: No State Income Tax, but WA Cares and PFML

Washington has no state income tax on wages. You do not withhold state income tax from your nanny's pay. You do, however, withhold two mandatory employee deductions and pay state unemployment and L&I.

WA Cares Fund (Long-Term Care)

You must withhold the WA Cares Fund contribution from your nanny's wages at 0.58% of gross wages. This is paid by the employee; you deduct it from their paycheck and remit it to the state.

Paid Family and Medical Leave (PFML)

You must withhold the employee share of Washington PFML. For 2026, the employee portion is approximately 0.807% of wages, capped at $184500 per year. Small employers (under 50 employees) are generally exempt from paying the employer share but must still deduct and remit the employee's share. You register and report through the Washington Employment Security Department.

Unemployment Insurance (SUI)

You become liable for Washington unemployment insurance when you pay your household employee more than the state quarterly threshold in a calendar quarter. New employers typically pay 1.5% on the first $78200 of wages per employee per year. You pay this as the employer; it is not deducted from the nanny's paycheck. Federal FICA and FUTA still apply.

Workers' Compensation (L&I): Mandatory and Hourly

In Washington, workers' compensation is called Industrial Insurance and is administered by the Department of Labor & Industries (L&I). It is mandatory for household employees and is calculated by the hour, not as a percentage of payroll. The employee pays a small share (approximately $0.2089 per hour); you pay the remainder (approximately $ per hour). WA L&I Class 6510. Employee pays ~$0.21/hr, Employer pays ~$1.02/hr. The calculator above applies these rates based on the total hours entered so you see the true employer cost and the employee deduction.

Domestic Workers and Sick Leave

Washington requires paid sick leave. Employees accrue at least 1 hour of paid sick leave for every 40 hours worked. In Seattle, a written agreement may be required for domestic workers; check the Seattle Office of Labor Standards for current requirements. Providing a written agreement that covers pay, duties, and sick leave is best practice statewide.

The "Nanny Tax" Checklist for Washington Employers

  • Obtain a Federal EIN (FEIN) from the IRS and register with the Washington Employment Security Department for unemployment and PFML if required.
  • Have your nanny complete Form I-9 and Form W-4.
  • Register for and withhold WA Cares (0.58%) and PFML (employee share, capped at $184500).
  • Obtain workers' compensation coverage through L&I (Industrial Insurance) for your household employee.
  • Provide pay stubs with each payment showing hours, rate, gross and net pay, and all deductions (federal tax, FICA, WA Cares, PFML, L&I employee share if applicable).
  • File Schedule H with your federal 1040 tax return.

Nanny vs. Au Pair in Washington

In the US, a nanny is a household employee: you pay at least the applicable minimum wage (by region in Washington), apply overtime rules (40 hours/week for all), and withhold and pay FICA, FUTA, WA Cares, PFML, state unemployment, and L&I. You file a W-2 and Schedule H. An au pair participates in the J-1 Au Pair program and receives a stipend plus room and board. The calculator supports both W-2 household employees and J-1 Au Pair arrangements.

How to Use the Washington Nanny Pay Calculator

Use the calculator above to estimate your total cost and your nanny's take-home pay. Select your region (Seattle, Tukwila, or Remainder of State) so the correct minimum wage applies. Enter an hourly rate at or above that minimum. Choose whether the nanny is live-in or not; overtime after 40 hours/week applies to both. The calculator applies no state income tax, WA Cares at 0.58%, PFML at 0.807% (capped at $184500), SUI at 1.5% on the first $78200, and L&I (employer and employee share) by the hour, so you see true cost vs. take-home pay.

Data Sources and Last Modified

Rates and rules in this guide and in the calculator are drawn from the Washington Employment Security Department, Department of Labor & Industries, WA Cares Fund, and IRS publications for 2026. Data last updated: 2026-02-01. Laws and rates may change; confirm with ESD, L&I, or a qualified tax or employment professional for your situation.

This guide is for informational purposes and does not constitute legal or tax advice. Washington labor and tax laws are subject to change. Consult with a qualified employment attorney or tax professional for your specific situation.