Quick Facts
| Item | Value |
|---|---|
| Minimum Wage | $15.00/hr |
| Pay Frequency | Weekly or bi-weekly; within 6 days of period end |
| Overtime Rules | 1.5x after 40 hrs/week; live-in employees ALSO qualify |
| Record Retention | 3 years |
State Income Tax
Withholding Form: M-4
Unemployment Insurance
Registration: Register online
Workers' Compensation
Threshold: 16+ hrs/week
Paid Family & Medical Leave
Program: Paid Family and Medical Leave (PFML)
Yes -- <11 employees: earned (can be unpaid); max 40 hrs/year; Yes -- employee contribution 0.46% of gross wages
| Item | Value |
|---|---|
| Employee Contribution | Yes |
| Max Weeks | 26 weeks |
Paid Sick Leave
Accrual Rate: Earned sick time
Annual Cap: 40 hrs
Yes -- <11 employees: earned (can be unpaid); max 40 hrs/year; Yes -- employee contribution 0.46% of gross wages
New Hire Reporting
Deadline: Within 20 days of hire
Written Contract Required
Threshold: 16+ hrs/week
Must be in employee language
Special Requirements
Live-in protections: 30 days notice + housing or 2-week severance for termination without cause; free phone/internet access required; written job evaluations at 3 months and annually; maternity leave 8 weeks unpaid; Notice of Rights for Domestic Workers required (available in English, Spanish, Portuguese, Tagalog)
Required Forms
Form M-4
Massachusetts state income tax withholding form
Purpose: Employee completes for state tax withholding
Massachusetts state form
Purpose: State compliance
Key Deadlines
| Deadline | Date | Description | Frequency |
|---|---|---|---|
| New Hire Reporting | Within 20 days of hire | Report new employees within 20 days to the state | at-event |
State Agencies
Sources
Frequently asked
- Do I owe nanny tax in Massachusetts?
- If you pay a household employee $3,000 or more in 2026, you owe federal FICA (Social Security and Medicare). If you pay $1,000 or more in any calendar quarter, you owe FUTA. Massachusetts state unemployment kicks in once you exceed the state's wage threshold — typically the first $15,000 of wages.
- What is the Massachusetts SUI rate for a new household employer?
- New household employers in Massachusetts start at 2.42%, applied to the first $15,000 of each employee's wages per year. Your rate can change once the state assigns you an experience rating, usually after 2–3 years.
- Does Massachusetts require Paid Family and Medical Leave (PFML)?
- Yes. Massachusetts requires PFML contributions totaling 0.46% of wages up to $184,500 per employee. The employee share is 0.46% and the employer share is 0%.
- How much state income tax do I withhold for a Massachusetts nanny?
- Massachusetts applies a flat 5% state income tax. You withhold this from each paycheck after applying any state standard deduction or exemptions based on your employee's state withholding certificate.
- What forms do I need to file for a household employee in Massachusetts?
- Federally: Schedule H (filed with your personal Form 1040), W-2 and W-3 (given to your employee and filed with the SSA), and quarterly EFTPS deposits if your liability exceeds $1,000/year. In Massachusetts: new-hire reporting, quarterly SUI filings, and any required state income tax withholding returns. CareTax generates all federal reference documents and points you to the Massachusetts state portals.