All states · Updated for 2026
How to pay a nanny in Rhode Island
Everything a Rhode Island 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.
- Rhode Island unemployment tax: register with Rhode Island Department of Labor and Training (Employer Tax Unit) after household employers paying $1,000 or more in cash wages in a calendar quarter (standard rule; confirm with ri dlt); new employers pay 1.21% on the first $30,800.00 of wages; file Quarterly tax and wage report (RI DLT Employer Tax) quarterly.
- Rhode Island income tax: withholding is voluntary for household employers (form RI W-4).
- State programs: RI Temporary Disability / Temporary Caregiver Insurance (employee-paid) (1.10% employee).
- New hire report: within 14 days of their start date.
- Minimum wage: $16.00/hour. Overtime: 1.5× over 40 h/week for live-out nannies.
- Paid sick leave: not mandated by the state.
- Workers' compensation: Rhode Island workers compensation law generally excludes domestic service employees; coverage is optional. Not verified this session.
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 and RI W-4.
- File the Rhode Island new-hire report within 14 days at the state site.
- Register with Rhode Island Department of Labor and Training (Employer Tax Unit) once you cross household employers paying $1,000 or more in cash wages in a calendar quarter (standard rule; confirm with ri dlt) (registration).
- Each payday: track hours, pay at least minimum wage and overtime, withhold 7.65% plus state program premiums, give a pay stub.
- Each quarter: file Quarterly tax and wage report (RI DLT Employer Tax). Quarterly, last day of the month after the quarter. 2026: UI taxable wage base $30,800 ($32,300 for employers at the highest rate); new employer rate 1.00% plus 0.21% Job Development Assessment = 1.21% (DLT Quick Reference, verified).
- January: W-2 to your nanny, W-2/W-3 to the SSA, RI-W3 Reconciliation of Personal Income Tax Withheld to the state. April: Schedule H with your 1040.
Run your numbers
Use the free Rhode Island 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 Rhode Island?
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. Rhode Island unemployment tax applies after household employers paying $1,000 or more in cash wages in a calendar quarter (standard rule; confirm with ri dlt).
Do I withhold Rhode Island income tax from my nanny?
Rhode Island does not require household employers to withhold state income tax; you can withhold voluntarily using RI W-4 if your nanny asks.
What forms do I file in Rhode Island?
Quarterly tax and wage report (RI DLT Employer Tax) quarterly with Rhode Island Department of Labor and Training (Employer Tax Unit), RI-W3 Reconciliation of Personal Income Tax Withheld annually, 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 Rhode Island?
Live-out nannies get 1.5× over 40 hours a week. Live-in nannies are exempt from overtime in Rhode Island. $16.00 minimum wage per the DLT 2026 Quick Reference; effective date assumed Jan 1 2026 (RI statute) - confirm. RI follows FLSA domestic-service overtime rules.
What is the minimum wage for a nanny in Rhode Island?
$16.00 per hour in 2026.
Pay your Rhode Island nanny legally for $14.99/month
Hours, paychecks with every tax computed, pay stubs, PTO, and a filing calendar with Quarterly tax and wage report (RI DLT Employer Tax) pre-filled. 14-day free trial, no card needed.
Start free trialSources: Rhode Island Employer's Income Tax Withholding Tables, 2026 Withholding Tax Booklet (percentage method pp.9-10); RI DLT 2026 UI and TDI Quick Reference (effective July 1, 2026). Rules for 2026. General information, not tax or legal advice.