Note: This form is planned for a future release and is not yet available in PaisaTax. The information below is for educational reference only.
What is Schedule H?
If you paid a household employee (nanny, housekeeper, caretaker, private cook, gardener) $2,700 or more in 2025, you must pay employment taxes. Schedule H calculates Social Security, Medicare, and FUTA taxes you owe as a household employer.
SupportedKey Lines
| Line | Description | Rate |
|---|---|---|
| Line 1 | Social Security wages | Preparer input |
| Line 2 | Social Security tax | Line 1 x 12.4% (employer + employee) |
| Line 3 | Medicare wages | Preparer input |
| Line 4 | Medicare tax | Line 3 x 2.9% |
| Line 5 | Additional Medicare wages (>threshold) | Preparer input |
| Line 6 | Additional Medicare tax | Line 5 x 0.9% |
| Line 7 | Federal income tax withheld | Preparer input |
| Line 8 | Total Part I taxes | Sum of Lines 2, 4, 6, 7 |
| FUTA Section | Federal unemployment tax | 6.0% on first $7,000 (minus state credit) |
| Line 26 | Total household employment taxes | Part I + FUTA |
How PaisaTax Handles It
- Manually added when the taxpayer employs household workers
- Flows to Schedule 2 — total household employment taxes flow to Schedule 2 Line 9
- Added to total tax — this increases the total tax on Form 1040 Line 24
Common Situations
- Nanny taxes: The most common scenario. If you pay a nanny $2,700+ in 2025, you owe Schedule H taxes.
- FUTA eligibility: If you paid $1,000+ in any quarter for household help, you also owe FUTA tax.
- Withholding: Federal income tax withholding for household employees is optional (by agreement between you and the employee) but must be reported if done.