NEW YORK LABOR LAWS
Minimum Wage
New York defers to the FLSA, which requires that all domestics, including companions, be paid at no less than the greater of the city, state, or federal minimum wage.
New York minimum wage is $15.50/hr.
- New York City minimum wage is $16.50/hr.
- Nassau, Suffolk and Westchester minimum wages are $16.50/hr.
Overtime Pay
Live-out workers must be paid an overtime differential of 1.5 times the hourly wage for hours over 40 in a work week. Live-in workers must be paid an overtime differential of 1.5 times the hourly wage for hours over 44 in a work week. Overtime or premium pay is not required for hours worked in excess of 8 per day or on weekends or holidays.
Paid Time Off
The New York Domestic Worker Bill of Rights grants employees 3 days paid time off after 1 year of employment.
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- New York City domestic employees must receive up to 40 hours of seick leave per year, and much be eligble to use this leave as it accrues.
New York also has a paid sick leave requirement.
- Employers with 5 to 99 employees must provide up to 40 hours of paid sick leave per calendar year.
- Employers with 4 or fewer employees and net income of greater than $1 million in the previous tax year are required to provide up to 40 hours of paid sick leave per calendar year.
- Employers with 4 or fewer employees and net income is $1 million or less in the previous tax year are required to provide up to 40 hours of unpaid sick leave per calendar year.
Mileage Reimbursement
The federal government establishes and updates a maximum rate for non-taxable mileage reimbursement each year. The current rate is $0.67 per mile.
Payroll Frequency
All household employees in New York must be paid on a weekly basis. Pay on separation is due on the next regular pay date.
Payroll Documentation
The NY Wage Theft Prevention Act requires all employees receive a pay rate notice at time of hire and any time the hourly rate changes. The notice must include regular and overtime rates of pay and the regular payday. In addition, you must offer a written notice on work policies including sick leave, vacation, personal leave, holidays, and hours of work.
Each time you pay an employee, you must provide them with a statement that includes the dates that they worked; their name; your name, address and phone number; their rates of pay and reason for getting paid; their gross wages earned, deductions taken, allowances taken, and net wages earned; and their regular rates of pay, their overtime rate, their number of regular hours worked, and their number of overtime hours worked, if they are not exempt. You can find a sample pay stub here.
Employment Contract Requirements
A written work agreement detailing work policies including sick leave, vacation, and personal leave should be provided to your employee. A free sample work agreement can be found here.
Workers’ Compensation Insurance
New York requires that household employers immediately obtain Workers’ Compensation and Disability Insurance (including Paid Family Leave) policies. HWS ALWAYS recommends obtaining a Workers Compensation Insurance policy for the protection it provides in the event of a work-related injury sustained by your employee. Information and an application are available online at the NYS Insurance Fund (NYSIF.com). More information about Workers Compensation Insurance can be found at http://www.wcb.ny.gov/content/main/coverage-requirements-wc/household-employers.jsp. and information about Disability Insurance and Paid Family Leave can be found at http://www.wcb.ny.gov/content/main/coverage-requirements-db/household-employers.jsp.
State Unemployment Insurance
New York requires a new employer state unemployment insurance tax of 4.1% for the first $12,500 wages (2024; consult the table below for prior and future years.) paid to each employee. This may vary if you have previous employees. The New York State UI contributions are comprised of a normal and subsidiary rate. Employers are also required to contribute to a separate re‑employment service fund. The normal rate is calculated each year for each employer and are influenced by many factors such as contributions paid and credited. Normal rates range from 0% to 8.9% (0.089) as of the time of this writing.
After 2026, the wage base in New York will permanently adjust on January 1 of each year to 16% of the state average annual wage, rounded up to the nearest $100. The state average annual wage is established no later than May 31 of each year. The annual average wage cannot be reduced from the prior year’s level.
Frequency of Tax Filings
New York requires near-immediate payment of income tax withholding upon meeting certain thresholds set by statute. Currently, an employer has 5 days to make a payment after accumulated taxes meet the state threshold. As such, HWS can only guarantee compliance through our Complete Payroll service level.
New York requires quarterly tax filings for unemployment insurance taxes.
Domestic Workers Bill of Rights (DWBR)
New York has a Domestic Workers Bill of Rights (DWBR) which includes requirements about overtime requirements, payroll documentation, days of rest, and other protections for your employees. A detailed list of requirements for employers can be found here.
