Who pays nanny unemployment benefits in NYS - confused about employer responsibilities

Actually, if you're working as a nanny and they're giving you a 1099, that's probably incorrect classification. Nannies are typically considered household employees, not independent contractors. The family should be treating you as a W-2 employee and paying unemployment taxes to NYS Department of Labor on your behalf. If they're paying you more than $500 in any calendar quarter, they're required to pay state unemployment insurance taxes. You don't pay unemployment taxes yourself - that's the employer's responsibility.

this happened to my sister last year! her nanny family was doing the 1099 thing too but when she filed for unemployment NYS Department of Labor told her she was misclassified. the family had to go back and fix everything and pay the back taxes they owed

The employer (the family) is responsible for paying unemployment insurance taxes to NYS Department of Labor, not you. For household employees like nannies, if they pay you $500 or more in any calendar quarter, they must register with NYS Department of Labor and pay state unemployment insurance taxes. The current rate is about 4.1% of wages up to the wage base. You should be classified as a W-2 employee, not a 1099 contractor. If you've been misclassified, you can still potentially claim unemployment benefits, but NYS Department of Labor will need to determine your employment status first.

ugh the whole nanny tax thing is such a nightmare. families never want to deal with it properly and then the nanny gets screwed over when they need benefits. my friend went through this and it was a mess trying to get NYS Department of Labor to sort it out

I had a similar situation and ended up using Claimyr (claimyr.com) to actually get through to a NYS Department of Labor agent about my employment classification. Trying to call their regular number was hopeless - always busy or disconnected. The Claimyr service helped me reach someone who could explain exactly what documentation I needed to prove my employment status. They have a video demo at https://youtu.be/qyftW-mnTNI that shows how it works. It was really helpful for getting answers about whether my employer had been paying unemployment taxes correctly.

Just want to add that even if you were misclassified as a 1099 contractor, you might still be able to get unemployment benefits. NYS Department of Labor will look at the actual working relationship, not just how you were paid. Things like: did the family control your work schedule, provide supplies, tell you how to do the job, etc. Those factors usually point to employee status for nannies.

This is really concerning - sounds like your family might owe back unemployment taxes to NYS Department of Labor if they've been misclassifying you all this time. At $18/hour for 8 months, you're definitely over that $500 quarterly threshold. I'd recommend documenting everything about your work arrangement (schedule, how they direct your work, etc.) in case you need to prove employee status later. The good news is that even with misclassification, you should still be eligible for unemployment benefits once NYS Department of Labor reviews your case. Just be prepared that it might take longer to process than normal claims.

You're absolutely right to be concerned about this situation. As someone who's dealt with household employment issues before, I can confirm that nannies are almost always employees, not independent contractors. The IRS has specific guidelines about this - if the family controls when, where, and how you work (which they clearly do), you're an employee. At $18/hour for 8 months, your family should definitely be paying unemployment taxes to NYS Department of Labor. The fact that you're getting a 1099 suggests they're either unaware of their obligations or trying to avoid them. I'd strongly recommend having a conversation with them about proper classification - they could face penalties for misclassification, and you deserve proper employee protections and benefits. You can find more info about household employee requirements on the NYS Department of Labor website.