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the portion of Social Security and Medicare taxes paid by the employer of a nanny, gardener, or other household worker.

a federal or state tax levied on those who employ live-in domestic help

The nanny tax pays for the workers’ Social Security, Medicare, and unemployment benefits.

noun phrase

The legal requirement, enacted in 1951, that full-time domestic child-minders be treated like other employees under the Social Security law: The Social Security ”nanny tax,” made famous last year in confirmation hearings will be eased under legislation Congress passed Thursday

[1980s+; fr British nanny, ”childrens’ nurse,” a nickname for Ann, and found by 1795]


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