If you are doing a pod, are you paying the educator/caregiver as a 1099 or household employee?

[Anonymous]

I have never had experience with hiring anyone to work in my house. It seems from my reading that the pod educator/caregiver would be a household employee since they are coming to my house, on a set schedule, using our supplies, etc. Am I missing something? Thanks for the help!

[Anonymous]

Good question.

[Anonymous]

I don’t know why it would be any different than a nanny, so household employee.

[Anonymous]

Anonymous wrote:I don’t know why it would be any different than a nanny, so household employee.

Thank you. That is what I figured I just was not sure.

[Anonymous]

but what if it's split? like a nanny share? does it hit the threshold?

[Anonymous]

I'm a Mandarin and fine art tutor and file 1099s

[Anonymous]

This is a 1099 situation.

[Anonymous]

Anonymous wrote:This is a 1099 situation.

How do you figure? If it’s a caregiver, in OP’s house, using OP’s supplies?

[Anonymous]

The IRS has rules on this. You want to go to the IRS website.

If they are a household employee and the monies are over a certain threshold then they would be a W2 employee.

If you have a question on it check with your CPA.

[Anonymous]

Anonymous wrote:but what if it's split? like a nanny share? does it hit the threshold?

Isn't the threshold under 3k? I'd think everyone would hit the threshold if the hourly rates per kid quoted on this board were accurate.

[Anonymous]

Anonymous wrote:I'm a Mandarin and fine art tutor and file 1099s

But I assume you have multiple clients vs working in someone's house for 6 hours a day.

[Anonymous]

Anonymous wrote:

Anonymous wrote:but what if it's split? like a nanny share? does it hit the threshold?

Isn't the threshold under 3k? I'd think everyone would hit the threshold if the hourly rates per kid quoted on this board were accurate.

OP here. It is $2200 for 2020.

[Anonymous]

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:but what if it's split? like a nanny share? does it hit the threshold?

Isn't the threshold under 3k? I'd think everyone would hit the threshold if the hourly rates per kid quoted on this board were accurate.

OP here. It is $2200 for 2020.

You’ll reach that in no time. There’s also a quarterly threshold of $1,000 for fed unemployment tax.

[Anonymous]

I am a teacher and just took a role like this.

We agreed on $45/hour.

As the provider, I plan to see an accountant before I start so I can have my taxes in order, as I feel it is on ME to take care of it

[Anonymous]

I agree that it is a household employee under the conditions described.

If it is a tutor with his or her own business, who is working for multiple families, setting own hours, etc. then 1099.