Looking for nanny payroll services? I reviewed top providers for pay runs, nanny tax filing, setup support, and household employer compliance.
If you recently hired a nanny, gardener, or private in-home nurse, the federal government considers you a household employer. Like any other type of employer, you must withhold payroll taxes from your workers’ paychecks, pay the federal unemployment tax, and pay the employer half of an employee’s Medicare and Social Security taxes (FICA tax).
These complicated financial tasks can be hard to understand. That’s why many families choose to use nanny payroll software that calculates and files payroll taxes on their behalf.
To help you find the right nanny payroll services for your family, I compared seven providers and narrowed the list down to my top picks:
| Provider | ||
|---|---|---|
| Poppins Payroll | ||
| SurePayroll by Paychex | ||
| HomePay by Care.com | ||
| GTM Payroll Services | ||
| HomeWork Solutions |
| Provider | ||||
|---|---|---|---|---|
| Poppins Payroll | ||||
| SurePayroll by Paychex | ||||
| HomePay by Care.com | ||||
| GTM Payroll Services | ||||
| HomeWork Solutions |
The best nanny payroll service is not always the cheapest one. New household employers may get more value from a provider that includes tax account setup and year-end form preparation, while experienced employers may prefer a lower-cost option with lighter support.
Tip: For a full-service option with predictable pricing, start with Poppins Payroll. If price is the deciding factor and your setup is straightforward, consider SurePayroll. If you want more payment options, help with staff onboarding, or deeper support around household payroll, HomeWork Solutions, HomePay, and GTM Payroll Services are stronger fits, respectively.
Poppins Payroll is a straightforward nanny payroll service for families that want help with household payroll taxes without buying into a more expensive concierge-style model. Its biggest advantage is simplicity: one low monthly price, a focused feature set, and support for the core household-employer tasks most families need.
I found it useful for first-time household employers who want payroll, tax payments, quarterly filings, and year-end documents handled in one place. Poppins also supports direct deposit or employer-issued checks, which provides a little more payment flexibility than some lower-cost competitors.
I chose Poppins Payroll as the best overall nanny payroll service because it gives families a strong balance of cost, coverage, and ease of use. It may not have the extensive services that some providers on my list offer, but that’s part of the appeal. For many household employers, the right tool is the one that handles the tax basics cleanly, keeps fees predictable, and does not turn nanny payroll into a second job.
I also like that Poppins tracks paid time off and sick leave balances, allowing families to check available PTO without using a separate spreadsheet. It even stores payroll and tax documents for five years, which makes it easier to find past pay stubs, tax forms, and payment records when needed.
Poppins Payroll charges a flat monthly fee of $49 for one employee. If you have more than one household staff member, each additional employee costs $10 per month.
Apart from SurePayroll, Poppins Payroll has the fewest add-on fees of any nanny tax service on my list. In contrast to most other payroll solutions, it has a one-month free trial without charging fees for new client setup, end-of-year tax preparation, or direct deposits.
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SurePayroll is an affordable, fully featured option for those who want every aspect of nanny payroll taken off their hands. At $39/month — the lowest on this list — it automates tax filing, paycheck calculation, direct deposit, and state new-hire reporting. That makes it practical for families with a straightforward payroll setup, especially if they have one household employee, a recurring pay schedule, and limited need for custom guidance.
It also generates a signature-ready Schedule H tax form at year-end. Plus, its nanny payroll service is backed by Paychex, one of the largest payroll processors in the country.
SurePayroll stands out because it combines affordable nanny payroll with practical automation. You can create a pay schedule and let the platform run payroll automatically, which is useful if your employees have different hours and pay rates. Even if you don’t use its autopilot function, SurePayroll has a simple, three-step process that lets you run payroll via a computer or its mobile app.
While it doesn’t have 24/7 customer service, its support team is based in the U.S. and is available evenings and weekends. You also don’t have to sign a year-long contract to use its nanny payroll software; instead, you pay month to month, which gives greater flexibility to household employers who hire workers seasonally.
SurePayroll’s nanny payroll service costs $39 per month for one employee. Similar to Poppins Payroll, it charges a $10 per month fee for each additional employee.
It’s also one of the providers on my list that doesn’t charge extra fees for account setup, year-end tax form preparation, or tax remittance to the IRS. I also like that it often offers a special promotion, where new customers can get six months free for a year-long subscription.
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HomePay is a nanny payroll service owned by Care.com. Along with automatic paycheck calculation and payroll tax remittance, the provider files new hire state reports and onboards employees on your behalf by collecting the required information, bank details, and W-4 forms to set up their HomePay accounts.
After day one, your employees can contact HomePay directly for support without routing questions through you first. If you want a fully managed experience from the start, this level of delegation gives you more time to handle other tasks that come with managing household help.
Hiring a nanny already comes with enough moving pieces: start date, schedule, pay rate, duties, house rules, and maybe a nervous child or two. HomePay’s value is that it takes some of the payroll onboarding admin off your plate before the first paycheck is due. That also makes it a good fit for first-time household employers who want more structure during the awkward setup stage.
Plus, you don’t have to worry about missing state tax notices or answering federal agency questions. HomePay receives and manages these notices on your behalf, so you have one less compliance task to track.
Another feature that caught my attention is HomePay’s “happiness guarantee” for new clients, where the provider will refund service payments if it doesn’t meet expectations during the first six months. I didn’t find a comparable satisfaction guarantee from the other providers on my list.
HomePay starts at $59 a month for basic services, which include employee onboarding, tax preparation and remittance services, and payroll management with direct deposit payouts.
For $75 per month, you can sign up for its premium plan, which includes additional access to dedicated phone support, tax ID setup for new employers, and state tax notice services. You even get the first month free with this plan.
HomePay also has a service for end-of-year tax preparation, which includes Schedule H, 1040, W-2, and W-3 tax-form preparation.
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GTM Payroll Services handles the core nanny payroll and tax tasks families need, but it also layers in household employment guidance that goes beyond basic paycheck processing.
In addition to new hire reporting, tax ID setup, time and leave tracking, and tax notice support, you get unlimited audit support, insurance risk review, and household employer management consultations. It even has certified household HR advisors who can review job descriptions, offer letters, and work agreements to ensure compliance.
If your state requires you to have workers’ compensation insurance, GTM can match you with an insurance provider and integrate your premium payments with payroll. This can save you hours of separate research, applications, and premium tracking.
What I like most about GTM is the depth of client support it offers. Instead of only answering nanny payroll questions, GTM gives families access to HR professionals, licensed insurance brokers, and household employment tax experts who understand the compliance details that come with hiring and paying household help.
It also goes the extra mile to help you understand your role as a household employer. Educational materials on GTM’s website include how-to videos, information on creating an Employer Identification Number, a free nanny paycheck calculator, a guide to household workers’ rights, and a list of household employer obligations by state.
For families that want expert support and a better understanding of nanny payroll rules, GTM is one of the stronger options in this guide. However, many of its deeper HR and compliance services are available only in higher tiers. If you have simple nanny payroll needs, consider either Poppins Payroll or SurePayroll.
For nanny and household payroll services, GTM offers three plans:
What I don’t like about GTM is that it charges a setup fee of $75 and requires at least a 12-month contract if you sign up for either its HR Platinum or Diamond plans. Year-end tax reporting is also an optional service, but it’s unclear if this costs extra.
Other paid add-ons include:
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While most nanny payroll service providers limit you to one payment option, HomeWork Solutions offers more control over how you can pay household employees. It supports payouts via direct deposit, live checks mailed to the worker, or direct check payments from you. That flexibility can be useful for households with part-time caregivers, temporary arrangements, or employees who prefer a specific payment method.
Its platform is simple to learn and use, and it automatically calculates payroll taxes and employee wages while securely maintaining all pay-related records online. Depending on the plan, its services can include tax notice management, timecard tracking, on-demand payroll reports, direct deposits, paycheck services, and access to a dedicated payroll specialist.
Beyond payment flexibility, HomeWork Solutions made my list because of the dedicated one-on-one support it offers in higher tiers. that it offers. Complete plans include a dedicated payroll specialist, while Premier adds a dedicated tax coordinator, giving families a clearer point of contact for payroll and tax questions.
The trade-off is cost and pay scheduling. HomeWork Solutions uses quarterly billing rather than monthly, and the setup and year-end filing fees add significantly to the plan price. Payroll runs are also restricted to weekly or bi-weekly schedules, which limits flexibility compared to competitors offering unlimited runs on any cadence.
HomeWork Solutions has three plans:
HomeWork Solutions also charges a $125 fee for year-end payroll tax filing and a $120 setup fee for new users.
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Also see: Payroll Tax Forms and Deadlines for Household Employers
While there are key differences between payroll solutions, most nanny payroll services should include a mix of the following features.
1. Automatic tax calculation and remittance
If you’re comfortable filing taxes yourself and prefer to save money on nanny software, you can find cheaper DIY tax software options (or even free payroll solutions) that calculate paychecks and tax deduction amounts, but leave the actual filing up to you.
However, figuring out the nanny tax is hypothetically the most burdensome part of hiring a household worker. Consider prioritizing nanny tax software that calculates and files taxes for you.
2. Multiple employee pay options
Most payroll software solutions include direct deposit as their main employee payment method. However, while direct deposit is one of the simplest ways to pay your employees on time, it’s not always the best option for all employers and employees. If you want to offer more payment options to your employees, look for software with direct deposit, paper check, and even prepaid debit card options.
3. Time-tracking integration
Like other employees, household workers are entitled to overtime if they’re paid hourly and their work week exceeds 40 hours. Time-tracking software is the easiest way for both you and your employees to make sure workers are being compensated for their actual hours worked while keeping you compliant with federal law. Some time-tracking tools also let you set up paid time off and sick leave policies based on your employees’ hours worked.
4. Employee benefit add-ons
While household employers aren’t legally obligated to offer employee benefits like health insurance and 401(k) retirement plans, some choose to offer benefits to attract top talent or retain employees.
5. Customer support
Your nanny payroll company’s customer support team should be available to help both you and your household employees. Ideally, your team is available round the clock or else on an extended schedule that includes weeknights and some weekend hours. You might also consider choosing a nanny tax service that works directly with your employees to set up their time tracking and payroll software.
6. Employee self-service portals
Employees need to access their tax data, hours worked, pay stubs, and direct deposit information. Usually, the most convenient way for them to do so is through a mobile app, or at least through a mobile-friendly website. Whether through an app or website, employees should be able to manage their own data independently.
The right payroll software for your household will depend on a variety of key considerations. First, ask yourself how much you’re willing and able to pay for a nanny tax service. Don’t forget to look into sneaky add-on fees, especially setup and end-of-year tax-filing costs, and include those in your overall nanny payroll budget.
Next, look at features. Would you rather have software that automatically runs payroll on a pre-set schedule, or would you prefer to run payroll yourself each pay period so you can double-check for accuracy? Do you value tools like mobile payroll apps, or are you happy enough with an online interface only? Asking these types of questions can help you narrow down which payroll software is right for you.
To create this guide, I only looked at payroll software with household employment options and at nanny payroll-only companies. Then, I evaluated each provider using the following factors:
To gather this information, I thoroughly checked each provider’s website to get pricing and plan information. I also read customer reviews on reputable review sites and looked at YouTube how-to videos whenever they were available.
If you employ a nanny, the IRS considers you a household employer. That means you may need to withhold and pay Social Security and Medicare taxes, pay unemployment taxes, prepare year-end forms, and keep payroll records.
A nanny payroll service can calculate paychecks, withhold taxes, file required payroll tax forms, prepare W-2s and Schedule H, and help you stay organized. The most comprehensive services also handle state tax notices and employer account setup.
In short, having a nanny payroll service can ensure you pay your nanny on time and fulfill your new tax obligations with as little stress as possible.
No. Regular payroll services are intended for businesses and don’t offer the features household employers need to pay their employees. However, some business payroll providers, like SurePayroll, offer nanny-payroll versions of their regular software.
A nanny who works in your home and whose work you control is typically treated as a household employee, not an independent contractor. So, you should give a W-2 form, not a 1099 form.
Yes, you can do nanny payroll yourself if you’re comfortable calculating wages, tracking hours, filing payroll taxes, preparing year-end forms, and keeping accurate records. DIY payroll may save you money, but you’ll be responsible for deadlines, tax notices, and fixing mistakes. A nanny payroll service can help if you want someone else to handle the tax details and keep the process organized.
Robie Ann Ferrer is an HR expert writer, focusing on HR and payroll software content. She has over eight years of content writing experience, handling different topics. Robie also worked as an HR specialist for 10 years where she managed various facets of HR—from payroll and benefits to employee services and HR systems.
