All states · Updated for 2026

How to pay a nanny in South Dakota

Everything a South Dakota 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.
South Dakota unemployment tax: register with South Dakota Department of Labor & Regulation after $1,000 or more in wages for domestic employment in a calendar quarter (current or preceding year); new employers pay 1.20% on the first $15,000.00 of wages; file Quarterly contribution and wage report (online) quarterly.
South Dakota income tax: none.
New hire report: within 20 days of their start date.
Minimum wage: $11.85/hour. Overtime: 1.5× over 40 h/week for live-out nannies.
Paid sick leave: not mandated by the state.
Workers' compensation: Domestic servants are excepted unless they work for the household more than 20 hours in a calendar week and more than six weeks in any 13-week period (SDCL 62-3-15); a regular nanny usually meets that test.

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 South Dakota new-hire report within 20 days at the state site.
Register with South Dakota Department of Labor & Regulation once you cross $1,000 or more in wages for domestic employment 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 Quarterly contribution and wage report (online). Reports must be received by the last day of the month after each quarter (Apr 30, Jul 31, Oct 31, Jan 31). New employers pay 1.20% in year one plus a 0.55% investment fee on the same wages (1.75% total); years two and three are 1.00% + 0.55% with a positive balance. The 0.08% administrative fee applies only once experience-rated.
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 South Dakota 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 South Dakota?

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. South Dakota unemployment tax applies after $1,000 or more in wages for domestic employment in a calendar quarter (current or preceding year).

Do I withhold South Dakota income tax from my nanny?

South Dakota has no state income tax, so there is nothing to withhold.

What forms do I file in South Dakota?

Quarterly contribution and wage report (online) quarterly with South Dakota Department of Labor & Regulation, 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 South Dakota?

Live-out nannies get 1.5× over 40 hours a week. Live-in nannies are exempt from overtime in South Dakota. South Dakota has no state overtime law; the FLSA applies.

What is the minimum wage for a nanny in South Dakota?

$11.85 per hour in 2026 (schedule: $11.50 from 2025-01-01, $11.85 from 2026-01-01).

Pay your South Dakota nanny legally for $14.99/month

Hours, paychecks with every tax computed, pay stubs, PTO, and a filing calendar with Quarterly contribution and wage report (online) pre-filled. 14-day free trial, no card needed.

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Sources: South Dakota DLR — Reemployment Assistance for Businesses (2026 wage base remains $15,000; new employer year 1: 1.20% RA tax + 0.55% investment fee; years 2–3: 1.00% + 0.55%; quarterly due dates); South Dakota DLR — Reemployment Assistance Tax FAQ (domestic employers liable at $1,000 wages in a calendar quarter; 0.08% administrative fee from 2026 for experience-rated employers); South Dakota DLR — Minimum Wage ($11.85/hour effective Jan. 1, 2026); South Dakota DLR — Workers' Compensation Coverage (domestic servants excepted unless more than 20 hours in a calendar week and more than six weeks in a 13-week period); South Dakota DLR — New Hire Reporting. Rules for 2026. General information, not tax or legal advice.