Taxes, do I have to pay nanny taxes?

[Anonymous]

If I indicate in the contract that nanny has to pay her own taxes is that sufficient in avoiding problems later or do I have to pay nanny taxes? What is the law on that in DC?

[Anonymous]

Federal law requires you to pay your share. Can you afford it?

[Anonymous]

I was thinking that I could consider nanny as an independent contractor and therefore she would pay her own taxes.

[Anonymous]

No. Not really. No one here will support that, even though certain nannies are legally ICs.

[Anonymous]

IC nannies earn high incomes to support their IC status and pay their own taxes.

[Anonymous]

Anonymous wrote:I was thinking that I could consider nanny as an independent contractor and therefore she would pay her own taxes.

Nannies are not independent contractors so stop thinking you can screw a nanny.

[Anonymous]

Anonymous wrote:I was thinking that I could consider nanny as an independent contractor and therefore she would pay her own taxes.

The law is very clear about nannies being household employees NOT independent contractors. It sounds like you're looking to avoid paying your fair share of employer taxes. Many nannies (who do things the legal way) see this as a red flag.

[Anonymous]

Anonymous wrote:

Anonymous wrote:I was thinking that I could consider nanny as an independent contractor and therefore she would pay her own taxes.

The law is very clear about nannies being household employees NOT independent contractors. It sounds like you're looking to avoid paying your fair share of employer taxes. Many nannies (who do things the legal way) see this as a red flag.

+1

The overwhelming majority of nannies do not qualify as ICs. You will need to pay your share of taxes as an employer.

[nannydebsays]

Anonymous wrote:If I indicate in the contract that nanny has to pay her own taxes is that sufficient in avoiding problems later or do I have to pay nanny taxes? What is the law on that in DC?

It's actually illegal to 1099 a household employee, and nannies are household employees.

If you were to suggest to me that you wished to treat me as an IC, I would explain the law to you, and, if I were truly desperate for a job, I would accept the position at an hourly rate n25% higher than my normal rate for a job like yours, so that I could cover the expenses of paying YOUR share of employment taxes, pay a terrific accountant to do my taxes, and save money to cover any penalties that I might incur when I filed my taxes and the IRS saw that you were a tax cheat and came after you for back taxes and penalties.

[Anonymous]

No and getting a niave nanny to sign it wont save you later either. If you want a nanny just pay the taxes legally. You make much more then nannies if you're hiring one so why try to put it all on her?

[Anonymous]

It's true that most nannies are not ICs. Those who are tend to be the newborn nannies who have lots of clients each year.

[Anonymous]

Nope - there is no way to legally get around paying the taxes on your nanny. There just isn't.

You can take your chances on an under the table hire but that's risky.

A nanny who works for you permanently cannot be paid on a 1099.

[Anonymous]

You don't pay her income taxes. You do have other employer owed taxes though. She is NOT an IC.

[Anonymous]

A nanny is definitely NOT an independent contractor. Calling her that doesn't make it so, sorry.

http://blog.nettimesolutions.com/employers-misclassifying-independent-contractors/?goback=.gde_39688_member_257764227.gna_39688

[Anonymous]

Anonymous wrote:A nanny is definitely NOT an independent contractor. Calling her that doesn't make it so, sorry.

http://blog.nettimesolutions.com/employers-misclassifying-independent-contractors/?goback=.gde_39688_member_257764227.gna_39688

Many of the newborn nannies are ICs. That's a fact.