NannyPay is a do-it-yourself nanny payroll service. The software helps you calculate your payroll taxes based on your nanny’s pay rate.  as a household employer, you can either download NannyPay’s software straight to your computer or sign up for its cloud-based plan. Then, you’ll follow the setup guide to create your account. When you’re ready to pay your domestic worker, nanny, or caregiver, you’ll enter their salary (or hourly rate), hours worked, and pay date to get their gross pay, or the total amount they’ve earned before taxes. The software will then calculate the taxes you need to deduct from the paycheck and remit to the IRS, leaving you with the nanny’s net pay, or the amount they take home when the pay period ends. NannyPay will also calculate what you owe in taxes based on your employee’s tax contributions. Both you and your nanny, domestic worker, or other household employee will make the same Medicare and Social Security tax contribution. You’ll also pay an unemployment insurance tax that your employee does not contribute to—only employers pay that particular tax.