401K or IRA For Nanny?

[Anonymous]

Does anyone have any experience setting up a 401K or assisting a nanny with an IRA? We would like to do this but unsure of the process. Thanks!!!

[Anonymous]

Hi I know GTM payroll has a way to set up a 401k for your nanny.

I am a nanny and I have an IRA that I set up on my own. My employers match it to a certain percentage.

This is a very nice perk, and happens in maybe 20% of nanny jobs.

So I am sure that if you look up averages on matching that your nanny will be happy with almost anything you offer to do.

[Anonymous]

Anonymous wrote:Does anyone have any experience setting up a 401K or assisting a nanny with an IRA? We would like to do this but unsure of the process. Thanks!!!

Nope.
I guess this would be another work around perk to avoid ordinary income or a rate raise?
Check the small business websites and your payroll system so the employer and employee gets the appropriate tax shields.

[Anonymous]

Anonymous wrote:

Anonymous wrote:Does anyone have any experience setting up a 401K or assisting a nanny with an IRA? We would like to do this but unsure of the process. Thanks!!!

Nope.
I guess this would be another work around perk to avoid ordinary income or a rate raise?
Check the small business websites and your payroll system so the employer and employee gets the appropriate tax shields.

Way to assume nefarious intent behind a rare and generous benefit.

[Anonymous]

Check IRS on simple IRA. Easy to set up and great benefit! Agree that a rare benefit!

[Anonymous]

Anonymous wrote:

Anonymous wrote:Does anyone have any experience setting up a 401K or assisting a nanny with an IRA? We would like to do this but unsure of the process. Thanks!!!

Nope.
I guess this would be another work around perk to avoid ordinary income or a rate raise?
Check the small business websites and your payroll system so the employer and employee gets the appropriate tax shields.

Not sure this person understands that an IRA has to be matched up to 3% of your income...could be a huge amount of money. Get educated.

[Anonymous]

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:Does anyone have any experience setting up a 401K or assisting a nanny with an IRA? We would like to do this but unsure of the process. Thanks!!!

Nope.
I guess this would be another work around perk to avoid ordinary income or a rate raise?
Check the small business websites and your payroll system so the employer and employee gets the appropriate tax shields.

Not sure this person understands that an IRA has to be matched up to 3% of your income...could be a huge amount of money. Get educated.

iRAs do not have to be matched. That's something you do on your own at your bank.

A 401(k) has to be administered. Interesting concept but not sure how it's done for a single employee. FYI...it does NOT have to be matched. Many companies don't offer matching. There is no legal requirement to do so. If it is matched it can be matched far more than 3% if desired.

Don't be so condescending, and get YOURSELF educated.

[Anonymous]

http://www.irs.gov/Retirement-Plans/Retirement-Plans-FAQs-regarding-SIMPLE-IRA-Plans

[Anonymous]

Anonymous wrote:http://www.irs.gov/Retirement-Plans/Retirement-Plans-FAQs-regarding-SIMPLE-IRA-Plans

Here's how one really works - employers MUST contribute. Employee does not but probably wise to set an amount. Good luck, OP.

[Anonymous]

An IRA and a SIMPLE IRA are not the same. She asked about an IRA.

[Anonymous]

thanks for this post - we're actually going to look in to this as part of our nanny's raise in the coming year!

[Anonymous]

Simple IRAs are really easy to set up and can me done through your or your nanny's back. No administration costs, agreed upon matching terms, or employers can agree to a set amount to contribute each year.

[Anonymous]

Anonymous wrote:Simple IRAs are really easy to set up and can be done through your or your nanny's bank. Generally no administration costs, agreed upon matching terms, or employers can agree to a set amount to contribute each year.

[Anonymous]

sorry for the typos!

[Anonymous]

My payroll company sent me this link when I had a similar question a few weeks ago.

http://info.homeworksolutions.com/nanny-retirement-savings-options