Room in exchange for work- legal?

[Anonymous]

Poor kid who is in school and with a babysitter all the time except 6 hrs on a Saturday.

[Anonymous]

Does this mean that it would be considered non taxable income?

[Anonymous]

Anonymous wrote:

Anonymous wrote:Thanks to those who have replied. I wasn't so much looking for opinions regarding the "fairness" - Has anyone come across an article concerning the legality of a "work trade" ?

Thanks!

I already answered that question.

No, it's not legal unless they spell out how much room and board is worth, how much the nanny is making per hour and guarantee pay for anything above 24 hours, and it's for the NANNY'S benefit, ie. nanny has a choice between live-out at a fair rate and live-in for just room/board.

In other words, there are criteria to make it legal.
1. List the nanny’s hourly wage.
2. List the cost of the room.
3. State that nanny receives board in lieu of wages.
4. If nanny works more than 24 hours in a week, she is paid at the hourly rate for all extra hours.
5. Technically, it has to be of benefit to the nanny in order to deduct room and board. If you are a nanny, I would presume that you have a reason for wanting to live with them. However, it’s usually room and board or neither.

How would one file their income taxes? Would it just be considered non taxable income?
I have no interest in this position. I have a full time job and my own apartment. I am just wondering how this would work unless it was off the books.

[Anonymous]

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:Thanks to those who have replied. I wasn't so much looking for opinions regarding the "fairness" - Has anyone come across an article concerning the legality of a "work trade" ?

Thanks!

I already answered that question.

No, it's not legal unless they spell out how much room and board is worth, how much the nanny is making per hour and guarantee pay for anything above 24 hours, and it's for the NANNY'S benefit, ie. nanny has a choice between live-out at a fair rate and live-in for just room/board.

In other words, there are criteria to make it legal.
1. List the nanny’s hourly wage.
2. List the cost of the room.
3. State that nanny receives board in lieu of wages.
4. If nanny works more than 24 hours in a week, she is paid at the hourly rate for all extra hours.
5. Technically, it has to be of benefit to the nanny in order to deduct room and board. If you are a nanny, I would presume that you have a reason for wanting to live with them. However, it’s usually room and board or neither.

How would one file their income taxes? Would it just be considered non taxable income?
I have no interest in this position. I have a full time job and my own apartment. I am just wondering how this would work unless it was off the books.

In order for it to be legal, the nanny must make minimum wage. So, nanny pays her share of federal and state taxes, employer pays theirs and unemployment.

[Anonymous]

Anonymous wrote:Why would someone work 24 hrs for straight room and board? I wouldn't pay $1500 For a room in someone's hpiae

Exactly. Only someone who can't do math would agree to this stupidity, certainly not an actual nanny.

[Anonymous]

As the pp said, it's legal, though the people would have to write it up with actual numbers (a rate, rent, etc.).

And, 24 hours a week would probably be a good PT job for a college student if that person wasn't working all weekend.

I think this will be hard to fill, unless the employers are open to hiring someone new every couple of months.

[Anonymous]

did you find more info on the legality?

[Anonymous]

Anonymous wrote:Yes its legal.
They are being very upfront about it.

I think they could get someone to do it if it was just the mornings, but who wants to give up their weekends every weekend?

It's D.C. and I doubt it is legal. As noted earlier, this screams job creep.

[Anonymous]

https://www.nannycounsel.com/blog/why-your-live-in-nanny-shouldnt-pay-for-room-board

[Anonymous]

Anonymous wrote:did you find more info on the legality?

Minimum wage is now $15/hour. I doubt anyone could rent a room for more than $1500/month, $18k/year. That works out to 1,200 hours per year, effectively 23 hours per week, if you don't want to pay the caregiver. You'd still be responsible for paying the employer portion of fica, caregiver pays not only their portion of fica, but also state and federal taxes. For the privilege of living in your house and working 23 hours per week? Get real.

[Anonymous]

How could someone living in a 4 floor townhome in Foggy Bottom be that cheap? I bet they are nightmare employers.

[Anonymous]

So there is no pay or meals provided? And 9 hours on Sunday?

7 days a week. Hmmm. Can her boyfriend stay over?

[Anonymous]

Why does a 10-month-old have "school?"

[Anonymous]

adding in even just minimum wage of 15/hour will make it much more attractive. Call it $1500/ month plus the room and you will have applicants.

[Anonymous]

Anonymous wrote:Yes its legal.
They are being very upfront about it.

I think they could get someone to do it if it was just the mornings, but who wants to give up their weekends every weekend?

No, it is not legal, no matter how “upfront they are about it.”