For any point (x,y) on the parabola the distance between that point and the focus is equal to the distance between that point and the directrix.
Find the distance between the point (x,y) on the parabola and the focus: sqrt((x-1)^2 + (y-1)^2).
Find the distance between the point (x,y) on the parabola and the directrix: |y-2|
Equate those two distances, square both sides and solve for y.