The very first administrative step of becoming a household employer is getting an Employer Identification Number (EIN). It's the number that identifies you as an employer on your nanny's W-2 and on your Schedule H — and you use it instead of your Social Security number so your SSN never has to appear on employment forms.
Do I actually need one? And does it replace my SSN?
Yes, and no. If you're going to file a W-2 and Schedule H — which you will once you cross the wage thresholds — you need an EIN, because the SSA won't accept a Social Security number in the employer box of a W-2. But you'll have both numbers, not one instead of the other: Schedule H still attaches to your own 1040 under your SSN. The EIN just means your SSN never has to appear on your nanny's copy. Getting one does not make you a business, and it doesn't add a return to file.
The fastest way: apply online
The IRS's online application issues your number immediately, on screen, at the end of the session. Start it here: Apply for an EIN online (IRS). Four things to know before you start:
- It keeps hours. Mon–Fri 6:00 a.m.–1:00 a.m. Eastern, Sat 6:00 a.m.–9:00 p.m., Sun 6:00 p.m.–midnight.
- One sitting. The session expires after 15 minutes of inactivity and doesn't save — you start over.
- One EIN per responsible party, per day. If you've already applied for one today under your own name, this one fails.
- Save the confirmation (Form CP 575) before you close the tab. The IRS issues it once, and it's what a state agency or a bank will ask to see.
The answer nobody guesses: what kind of entity you are
This is where families stall. You aren't a sole proprietorship, a partnership or an LLC — you're a household employer, which is a named choice in the application (pick Sole Proprietor on the first screen, then Household Employer on the next). On the paper Form SS-4 the instructions say it outright: check the Other box on line 9a and enter “Household employer.” Then:
- Reason for applying: you hired employees. Not “started a new business.”
- Closing month of accounting year: December — an individual's tax year is the calendar year.
- Number of employees: goes in the Household column, not Agricultural or Other.
- The Form 944 box: leave it unchecked. You report on Schedule H with your 1040, and once you check that box the instructions say you must keep filing Form 944 regardless.
- Third-party designee: leave it blank. The number is issued to you.
Slower alternatives
If you can't use the online application — it's closed, or you've already used your one for the day — file Form SS-4 by fax to 855-641-6935 (about four business days) or by mail to Internal Revenue Service, Attn: EIN Operation, Cincinnati, OH 45999 (about four weeks). Sign it either way; the IRS won't process an unsigned SS-4. Online is faster and easier for almost everyone.
Don't forget your state
Your federal EIN is separate from any state employer account you may need for state unemployment (SUTA) or income-tax withholding. Most states have their own quick online registration. States with no income tax (like Tennessee, Texas, and Florida) still typically require a state unemployment account.
Once you have your EIN, House uses it to generate your nanny's W-2 and your Schedule H figures — no re-typing, no math.
Start setting up payrollThe bottom line
Get your federal EIN free online in about 15 minutes, register for any state accounts your state requires, and you've cleared the paperwork that stands between you and running your first payroll.