Florida Employer Guide

Florida Household Employer Guide 2026

Your household employee — a nanny, caregiver, housekeeper, gardener, or anyone who works in your Florida home — is a W-2 employee. Florida is one of the simpler states for household payroll: no state income tax, no state paid leave program, and only a few state-specific payroll steps.

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Updated May 2026 · Verified against Florida Department of Revenue, Florida Department of Commerce, and IRS
State Income TaxNone
Minimum Wage$14 → $15
Reemployment Tax2.7%
Overtime1.5× / 40 hrs
Paid LeaveNot required
Florida is one of the simpler states for household payroll. There is no state income tax, no state paid sick leave, and no state paid family leave. Most obligations are federal. Florida adds Reemployment Tax, state minimum wage rules, and new-hire reporting.
Your household worker is a W-2 employee. Whether they're a nanny, caregiver, housekeeper, gardener, or personal assistant — if you control when, where, and how the work is done, they are your employee under IRS rules. That means W-2 reporting, payroll tax compliance, and labor law obligations. Most household workers are employees under IRS rules, not contractors — issuing a 1099 in this situation can lead to back tax penalties, interest, and wage-law liability under federal and Florida law.

When the rules apply

Florida household employers mainly need to watch three triggers: federal FICA, federal unemployment tax, and Florida Reemployment Tax.

Federal thresholds
$1,000
per quarter
Triggers federal unemployment tax (FUTA), reported on Schedule H with your personal tax return.
$3,000
per year, per employee
Triggers Social Security and Medicare taxes (FICA) and W-2/W-3 reporting.
Florida state thresholds
$1,000
per quarter
Triggers registration with the Florida Department of Revenue and employer-paid Reemployment Tax.
4+
employees
Triggers Florida workers' compensation coverage. With fewer than 4 employees, coverage is optional but worth considering.
What Florida does not have: no state income tax withholding, no state paid family leave, no state disability tax, and no state-mandated paid sick leave.

How Nest Payroll handles this

Each pay period, you pay your employee the net amount directly — through Venmo, Cash App, Zelle, your banking app, or by check. Nest generates the pay stub, calculates federal payroll taxes, and registers you with the Florida Department of Revenue once Reemployment Tax applies.

Federal taxes — quarterly EFTPS payments

At the end of each federal quarter (March, May, August, December), Nest debits your bank account for the federal taxes owed — FUTA, employer + employee FICA, and any federal income tax withheld — and remits them to the IRS via EFTPS. You'll get a confirmation email a week beforehand. Your money stays in your account until taxes are actually due. We don't hold withholdings on your behalf. At year-end, Schedule H on your Form 1040 reconciles everything Nest already paid through the year; Nest produces a signature-ready version.

Florida state taxes — quarterly RT-6 filings

Florida has no state income tax. The only state payroll filing is the quarterly RT-6 for employer-paid Reemployment Tax.

Florida Reemployment Tax: New household employers generally pay 2.7% on the first $7,000 of each employee's wages. This is an employer-paid tax, not withheld from your employee. Nest calculates and remits it with quarterly RT-6 filings. Source: Florida Department of Revenue — Reemployment Tax Rates
End-of-year reconciliation: If you didn't cross the federal FICA threshold ($3,000/year per employee — most common when families start payroll late in the year or hire short-term help), we'll let you know exactly what was withheld but doesn't need to be remitted. You return those amounts to your employee, and we file accordingly.

Setup checklist (before they start)

The one-time tasks that need to be done before — or shortly after — your household employee's first day.

Workers' Compensation Insurance

Workers' compensation insurance is protection for you from liability if your employee gets injured or sick on the job. The Florida rule depends on how many employees you have:

  • 4 or more part- or full-time employees: Required to maintain workers' compensation coverage.
  • Fewer than 4 employees (typical household setup): Not required, but strongly recommended.

For most household employers with one or two employees, coverage is optional — but we strongly recommend obtaining it. Without coverage, you could be personally liable for medical expenses and lost wages from a workplace injury.

Where to get coverage

Start with the insurance company that holds your homeowner's or renter's policy. You might already be covered, or you may be able to add a low-cost rider. If your homeowner's policy can't cover it, standalone household-employer policies are available from private carriers.

Resource: Florida Division of Workers' Compensation — official state guidance on coverage requirements and carrier information.

Form I-9 (Employment Eligibility)

Federal law requires all employers to verify employment eligibility using Form I-9. Complete this before your household employee's first day of work.

Important: Don't submit the I-9 to anyone. Keep it with your employer records in case of a future audit.

Federal W-4

The federal W-4 determines how much federal income tax to withhold from each paycheck. Have your household employee fill this out at hire and any time their situation changes.

No state withholding form needed: Florida has no state income tax, so there's no state-equivalent of the W-4. The federal W-4 is the only withholding form your employee fills out.
Note: Federal income tax withholding is voluntary for household employers and requires agreement with your employee.

Florida New Hire Reporting

Under Florida Statute 409.2576, all employers — including household employers — must report newly hired and rehired employees to the Florida New Hire Reporting Center within 20 days of the hire date.

Reporting can be done online, by mail, or by fax. You'll provide your employee's name, address, SSN, hire date, and your contact information.

This also applies to rehires — employees returning to work after 60+ days away.

With Nest Payroll: We handle Florida new-hire reporting automatically when you add your employee in the app.

Required Employment Posters

Florida household employers should provide their employee with key federal and state notices. For a household employer with a single employee, you can satisfy this by emailing or texting links, or printing physical copies:

Written Work Agreement

Florida doesn't require a written employment agreement for household workers, but a written contract prevents misunderstandings about hours, duties, PTO, and house rules.

Build a free contract with our editable template: Nest Payroll Household Employee Contract Builder — fill it out and download as a PDF.

Hand In Hand, a non-profit supporting domestic employers and employees, also offers free sample contracts and guidebooks.

Pay & compensation

Everything that goes into a paycheck — minimum wage, overtime, when to pay, pay stubs, and reimbursable mileage.

Minimum Wage — Transitioning to $15/hr in 2026

Florida is in the final year of its scheduled minimum wage increase under Amendment 2 (passed in 2020). The state minimum is changing partway through 2026:

2026 Florida Minimum Wage Schedule
Effective PeriodRate
Through September 29, 2026$14.00/hr
From September 30, 2026 onward$15.00/hr
What happens after $15: Starting in 2027, Florida's minimum wage will be adjusted annually based on the Consumer Price Index (CPI). Expect smaller, inflation-based increases each September 30.
Important — Florida's minimum wage transitions on September 30, NOT January 1. Most other states' minimum wage changes happen on January 1, so this is easy to miss. If you're paying near the minimum, mark your calendar to update your employee's hourly rate on September 30, 2026. Source: Florida Department of Commerce — Minimum Wage

Overtime

Florida doesn't have its own overtime rules — federal Fair Labor Standards Act (FLSA) applies. Household employees must be paid 1.5× their regular hourly rate for all hours worked over 40 in a 7-day workweek.

Florida Overtime — Household Workers
ConditionRate
Live-out, more than 40 hours in a workweek1.5× hourly
Live-in employees (any hours)Exempt from overtime
Work performed on a holiday or weekendNo premium required
Live-in exemption: Under federal FLSA, live-in domestic workers are exempt from overtime requirements. Florida follows this exemption — live-in nannies and caregivers must be paid at least minimum wage for all hours worked, but overtime is not legally required. Document live-in schedules carefully so hours and pay expectations are clear. Source: U.S. DOL — Fair Labor Standards Act

"No Tax on Overtime" Deduction (2025–2028)

The federal overtime deduction may let household employees deduct the premium portion of qualifying overtime pay on their personal tax return. This is a federal income-tax rule; it does not change how you calculate overtime, FICA, or Florida payroll records.

With Nest Payroll: Nest tracks qualified overtime reporting for W-2 purposes when required.

Pay Frequency

Household employees are virtually always hourly under federal FLSA — even when you've agreed to pay a "salary," it's treated as a wage covering a fixed number of hours per week, with overtime owed on hours past 40. Florida itself is unusually flexible — there's no state law mandating how often you must pay your employee. Daily, weekly, bi-weekly, semi-monthly, and monthly are all permitted under Florida law. You should still establish regular paydays and stick to them.

  • Most common schedules for household payroll: weekly (every Friday), bi-weekly (every other Friday), or semi-monthly (1st and 15th).
  • Document your pay schedule in writing (work agreement, email, or text) at hire so there's no ambiguity.
With Nest Payroll: Nest defaults to weekly pay stubs, which keeps records clean even if you transfer money on a different schedule.

Mileage Reimbursement

Florida doesn't require mileage reimbursement, but you must reimburse necessary work-related driving if those costs would otherwise reduce your employee's wages below the minimum wage. Most employers use the IRS standard rate:

$0.725 per mile (2026)

Common examples: driving children to activities, running household errands, taking a client to medical appointments. (Commuting to/from work doesn't count.)

Paystub Requirements

Florida doesn't have a specific pay stub statute, but employers are expected to provide an itemized record of earnings for each pay period — showing rate, gross wages, deductions, net pay, and hours worked. Federal recordkeeping rules (FLSA) also require these records be retained for at least 3 years.

With Nest Payroll: Nest generates a compliant pay stub for every weekly pay period — automatically. Each stub shows the rate, gross wages, FICA and federal withholding deductions, net pay, and hours worked. You can email each stub to your employee directly from the app, or download a PDF.

Florida is simple — but payroll still has to be done right.

Nest Payroll handles federal payroll, Florida Reemployment Tax, W-2s, and Schedule H — starting at $42/mo. 14-day free trial.

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Time off & leave

Florida does not have a state-mandated paid sick leave law, paid family leave program, or required vacation time. Time off is at your discretion as the employer — but offering some PTO is strongly recommended for retention.

Sick Leave

Florida does not require any paid or unpaid sick leave for household workers. No Florida city or county currently requires paid sick leave for private employers — Florida law preempts local sick leave ordinances.

Even though it's not required, offering some sick leave is good retention practice. A typical household employer offers 3–5 paid sick days per year.

If you offer sick leave: frontload it

If you offer sick leave voluntarily, the simplest approach is to frontload the annual amount at the start of each year or pro-rate it at hire. This avoids accrual tracking and keeps separation clean if your written policy says unused sick leave is not paid out.

How Nest Payroll handles this: Nest is built around the frontloading model — you set up your employee with their annual sick leave balance at the start of each year (or pro-rated at hire), and pay stubs reflect the running balance as time is used.

Vacation & PTO

Florida does not require paid vacation. If you offer it, document your policy clearly in writing, including whether unused vacation is paid out at separation.

If your policy provides for payout, calculate the earned-but-unused portion through the last day worked at the employee's final rate of pay.

Keep sick leave and vacation separate. Sick leave and vacation should be tracked as separate buckets. That keeps your written payout rules clear and avoids turning voluntary sick leave into vacation that may need to be paid out.

See our Frontload PTO Payout guide for the full pro-rata framework, worked example, and tax treatment.

Upon departure

Final pay: Florida law doesn't specify a deadline for final wages, but standard practice (and federal recordkeeping rules) is to pay final wages on the next regular payday after termination or resignation.

Earned-but-unused vacation: Florida does not require payout unless your written policy says unused vacation is paid out. If payout applies, calculate the earned-but-unused portion through the last day worked at the final rate of pay.

Final W-2: Provide the federal Form W-2 by the regular January 31 deadline (or earlier if requested by the former employee).

Close down state tax accounts: If your employee leaves and you don't plan to hire another, you should close your Florida Reemployment Tax account so you stop receiving filing notices.

Year-end forms

Your responsibilities

  • Hand the W-2 to your household employee by January 31 — Nest produces this; you deliver it
  • Attach Schedule H to your Form 1040 by April 15 — Schedule H reconciles the federal taxes Nest already paid quarterly through EFTPS; Nest produces a signature-ready version

What Nest handles for you

  • Quarterly federal tax payments to the IRS via EFTPS (FUTA, employer + employee FICA, federal income tax withheld)
  • W-3 + Copy A of W-2 filed with the Social Security Administration
  • Quarterly RT-6 filings with the Florida Department of Revenue (Reemployment Tax)
With Nest Payroll: Your tax forms are generated automatically and appear in your Tax Summary by the end of January.
Bonuses and vacation payouts: Bonuses and vacation payouts are included on your employee's W-2 and taxed through regular payroll withholding calculations. Florida has no state income tax, so there is no state-side withholding.

Tax breaks for household employers

Paying your household employee legally unlocks meaningful federal tax breaks that often offset most of your employer-side payroll tax cost.

Dependent Care FSA (DCFSA)

For 2026, the federal max contribution is $7,500 (married filing jointly) — up significantly from prior years under the OBBBA. Note: your employer's specific plan may still cap at $5,000.

Child & Dependent Care Tax Credit

Up to 50% of qualifying care expenses for 2026 — up from 35% in 2025. Capped at $3,000 of expenses for one qualifying child or $6,000 for two or more. At the 50% rate, a family with two or more dependents could receive a credit of up to $3,000.

→ See our complete guide to nanny tax breaks — includes DCFSA, Care Credit, EAP (Educational Assistance Program), and ICHRA (health reimbursement).

Resources & free tools

Ready to pay your FL household employee legally?

Nest Payroll handles EIN setup, FL Reemployment Tax registration, payroll calculations, and quarterly tax filings — all automatically. 14-day free trial.

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Disclaimer: The information on this page is general in nature. This is not tax, legal, benefits, financial, or HR advice. Rules and regulations change over time and vary by location. Consult an attorney, financial advisor, or licensed insurance broker for your specific situation.