All states · Updated for 2026
How to pay a nanny in Alaska
Everything a Alaska family has to do to pay a nanny, housekeeper or caregiver legally: the taxes, the registrations, the forms, and the deadlines. CareTab does the math and reminds you; you keep paying them the way you already do.
The short version
- Federal: withhold 7.65% Social Security and Medicare from their pay and match it; pay FUTA (0.6% of the first $7,000.00); file Schedule H with your 1040; give them a W-2 by Jan 31.
- Alaska unemployment tax: register with Alaska Department of Labor & Workforce Development after $1,000 or more in cash wages for domestic service in a private home in a calendar quarter (current or preceding year); new employers pay 1.00% on the first $54,200.00 of wages; file TQ01C quarterly contribution report quarterly. Employees also contribute 0.50%.
- Alaska income tax: none.
- New hire report: within 20 days of their start date.
- Minimum wage: $14.00/hour. Overtime: 1.5× over 40 h/week for live-out nannies.
- Paid sick leave: required (Ballot Measure 1 paid sick leave from July 1, 2025: 1 hour per 30 hours worked; employers with fewer than 15 employees must allow accrual and use of up to 40 hours per year (56 hours at 15+). Check the DOLWD FAQ for whether a domestic-service exemption applies to your household.).
- Workers' compensation: Alaska requires coverage for one or more employees; the only household exemptions are part-time baby-sitters and non-commercial cleaning persons (AS 23.30.230). A regular full-time nanny generally must be covered.
Step by step
- Get an EIN from the IRS (free, online, 10 minutes).
- Have your nanny complete Form I-9 and, if they want federal income tax withheld, a W-4.
- File the Alaska new-hire report within 20 days at the state site.
- Register with Alaska Department of Labor & Workforce Development once you cross $1,000 or more in cash wages for domestic service in a private home in a calendar quarter (current or preceding year) (registration).
- Each payday: track hours, pay at least minimum wage and overtime, withhold 7.65%, give a pay stub.
- Each quarter: file TQ01C quarterly contribution report. Last day of the month after each quarter. 2026 new-employer rate is 1.00% for every industry; employees pay a 0.50% share that you withhold (max $271 for the year) and remit with your report.
- January: W-2 to your nanny, W-2/W-3 to the SSA. April: Schedule H with your 1040.
Run your numbers
Use the free Alaska nanny tax calculator: take-home pay, what you withhold, and your total cost including employer taxes.
Frequently asked
Do I have to pay nanny taxes in Alaska?
Yes. Once you pay a household employee $3,000.00 or more in a year you owe Social Security and Medicare (7.65% withheld from your nanny and 7.65% from you), and FUTA once you pay $1,000.00 in any quarter. Alaska unemployment tax applies after $1,000 or more in cash wages for domestic service in a private home in a calendar quarter (current or preceding year).
Do I withhold Alaska income tax from my nanny?
Alaska has no state income tax, so there is nothing to withhold.
What forms do I file in Alaska?
TQ01C quarterly contribution report quarterly with Alaska Department of Labor & Workforce Development, a W-2 for your nanny and W-3 to the SSA by Jan 31, and Schedule H with your federal return.
Does my nanny get overtime in Alaska?
Live-out nannies get 1.5× over 40 hours a week. Live-in nannies are exempt from overtime in Alaska. The Alaska Wage and Hour Act exempts domestic service (including babysitters) in or about a private home, and its daily overtime does not apply to employers with fewer than 4 employees; the FLSA governs (1.5× after 40 hours; live-in domestic workers exempt).
What is the minimum wage for a nanny in Alaska?
$14.00 per hour in 2026 (schedule: $13.00 from 2025-07-01, $14.00 from 2026-07-01, $15.00 from 2027-07-01).
Pay your Alaska nanny legally for $14.99/month
Hours, paychecks with every tax computed, pay stubs, PTO, and a filing calendar with TQ01C quarterly contribution report pre-filled. 14-day free trial, no card needed.
Start free trialSources: Alaska DOLWD Employment Security Tax — Unemployment Insurance Tax Rates for New (Industry) Employers, 2026 (employer rate 1.00% for all industries; employee rate 0.50%; 2026 tax base $54,200); Alaska Employer Newsletter, January 2026 (2026 taxable wage base $54,200); Alaska Employer Registration Form (domestic service in a private home excluded only when wages are less than $1,000 per quarter in the current or preceding year); Alaska DOLWD Labor Standards & Safety — Ballot Measure 1 FAQ (minimum wage $13.00 Jul 1 2025, $14.00 Jul 1 2026, $15.00 Jul 1 2027; paid sick leave 1 hour per 30 worked, 40-hour cap under 15 employees); Alaska DOLWD — Alaska Wage and Hour Act summary (exemption for domestic service, including babysitters, in or about a private home; overtime exemption for employers with fewer than 4 employees); Alaska Workers' Compensation Division — Employer Information (coverage required for one or more employees; exemptions include part-time baby-sitters and non-commercial cleaning persons); Alaska Child Support Services Division — Business Portal for employer reporting. Rules for 2026. General information, not tax or legal advice.