Tax Question!

[Anonymous]

So I have a bit of a unique situation, in which I moved states with my current nanny family.

I started with my current family in April 2015, in Connecticut. I was on a temporary contract, but we hit it off so well, that I moved to Massachusetts with them in August 2015!

So here is my question:

1.) I usually do taxes on my own, but how would this work? I have the same employers, same payroll, but worked in two separate states in 2015. Has anyone had a similar experience and do their own taxes?

I might just end up getting it professionally done this year, LOL! But any advice, or personal experience would be great to hear.

[Anonymous]

You will need to file returns in both states. If you are accustomed to doing your own taxes it won't be that much more complicated - a TurboTax product or something similar can walk you through it probably.

[Anonymous]

1. You should be on payroll and your employers should just give you a W-2. 2. If you're a 1099 " contractor " you're paying double the taxes which your family should know better

[Anonymous]

Your W2 should reflect CT taxes from April-July and MA taxes from Aug-Dec. So, 1 W2, federal and 2 states. It's really not hard. I do federal online, but I don't process it, then I copy the information into the federal form, use that information to do state. It's easy, take twice as long, but I don't pay a thing.

[Anonymous]

OP and all others reading, now you see why most of us nannies just like to be paid in cash. Not only do we make 30-40% more than you, but we also don't have all these hoops to jump through. I only "made" ~$14,000 last year, so I get some nice government assistance, but I really made ~$48,000.

[Anonymous]

OP here.

First, thanks all for the feed back! Of course, I soon realized after I posted this that my W-2 was split up.

Also.. I understand wanting to be paid under the table, but there are huge consequences if you're ever caught. I've been paid legally for the last four or five years, and not much has changed, except for health insurance. (My employers also cover the whole cost of a rather pricey insurance plan.)

It's also a plus because people need things like apartments, houses, credit cards, loans, or cars. Having a job on paper helps that a lot, especially if you're single.

It was a bit more of a challenge in terms of finding a position that allowed me to take home what I needed to be comfortable. But I found a position where I was able to net $700/wk.

On the flip side, I'm looking for my next position to be off-the-books so that I can have cheaper health insurance and more financial aid for school. It's certainly not the lawful thing to do, but unfortunately education is not exactly affordable!

In short, I can understand both sides of the argument. Generally, however, I'd advocate to get paid on-the-books.

.

[Anonymous]

Anonymous wrote:OP and all others reading, now you see why most of us nannies just like to be paid in cash. Not only do we make 30-40% more than you, but we also don't have all these hoops to jump through. I only "made" ~$14,000 last year, so I get some nice government assistance, but I really made ~$48,000.

That's your choice, but you also are missing serious credit in terms of social security. Your SS benefits will be based on your income, so you may seriously regret the off the books approach.

[Anonymous]

Anonymous wrote:OP and all others reading, now you see why most of us nannies just like to be paid in cash. Not only do we make 30-40% more than you, but we also don't have all these hoops to jump through. I only "made" ~$14,000 last year, so I get some nice government assistance, but I really made ~$48,000.

Some of us prefer to stand on our own feet and not get government assistance which we don't want or need. I have no idea how you tell yourself that it's okay to take money that others provide when you don't need it, and I don't care to ever understand that.

Oh, and if you think 48k is 30-40% more than nannies who are taxed, you are sorely mistaken. Do you really believe that nannies who pay taxes only make 28-33k?!

[Anonymous]

Anonymous wrote:

Anonymous wrote:OP and all others reading, now you see why most of us nannies just like to be paid in cash. Not only do we make 30-40% more than you, but we also don't have all these hoops to jump through. I only "made" ~$14,000 last year, so I get some nice government assistance, but I really made ~$48,000.

That's your choice, but you also are missing serious credit in terms of social security. Your SS benefits will be based on your income, so you may seriously regret the off the books approach.

You'll never get back what you paid in. It's a difference of hundreds of dollars per year back vs. thousands per year in.

[Anonymous]

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:OP and all others reading, now you see why most of us nannies just like to be paid in cash. Not only do we make 30-40% more than you, but we also don't have all these hoops to jump through. I only "made" ~$14,000 last year, so I get some nice government assistance, but I really made ~$48,000.

That's your choice, but you also are missing serious credit in terms of social security. Your SS benefits will be based on your income, so you may seriously regret the off the books approach.

You'll never get back what you paid in. It's a difference of hundreds of dollars per year back vs. thousands per year in.

You're kidding, right? I am 43 years old, have never made more than $65K in a year (some years much less). My estimate from social security based on current lifetime earnings is $1300/month. If I live a long time, I'll get way more back than I put in (that's why it's going bankrupt). On $48K a year, you would pay approximately $3K for the entire year in SS taxes.

[Anonymous]

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:OP and all others reading, now you see why most of us nannies just like to be paid in cash. Not only do we make 30-40% more than you, but we also don't have all these hoops to jump through. I only "made" ~$14,000 last year, so I get some nice government assistance, but I really made ~$48,000.

That's your choice, but you also are missing serious credit in terms of social security. Your SS benefits will be based on your income, so you may seriously regret the off the books approach.

You'll never get back what you paid in. It's a difference of hundreds of dollars per year back vs. thousands per year in.

Every single once of the women in my direct line lives to be at least 95, and has done so since the early 1800s. I highly doubt that the trend is going to change with me. Based on 25+ years of collecting SS (70-95), I am pretty sure that I will get back more than I put in while I work.

[Anonymous]

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:OP and all others reading, now you see why most of us nannies just like to be paid in cash. Not only do we make 30-40% more than you, but we also don't have all these hoops to jump through. I only "made" ~$14,000 last year, so I get some nice government assistance, but I really made ~$48,000.

That's your choice, but you also are missing serious credit in terms of social security. Your SS benefits will be based on your income, so you may seriously regret the off the books approach.

You'll never get back what you paid in. It's a difference of hundreds of dollars per year back vs. thousands per year in.

Every single once of the women in my direct line lives to be at least 95, and has done so since the early 1800s. I highly doubt that the trend is going to change with me. Based on 25+ years of collecting SS (70-95), I am pretty sure that I will get back more than I put in while I work.

The thing you are quoting said difference. The difference in declaring an income of 14k vs 48k is minor once you start getting social security, plus OP kept $34k a year when you add back whatever she gets from SS, the 14k scenario ends up ahead. Math don't lie.

[Anonymous]

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:OP and all others reading, now you see why most of us nannies just like to be paid in cash. Not only do we make 30-40% more than you, but we also don't have all these hoops to jump through. I only "made" ~$14,000 last year, so I get some nice government assistance, but I really made ~$48,000.

That's your choice, but you also are missing serious credit in terms of social security. Your SS benefits will be based on your income, so you may seriously regret the off the books approach.

You'll never get back what you paid in. It's a difference of hundreds of dollars per year back vs. thousands per year in.

Every single once of the women in my direct line lives to be at least 95, and has done so since the early 1800s. I highly doubt that the trend is going to change with me. Based on 25+ years of collecting SS (70-95), I am pretty sure that I will get back more than I put in while I work.

The thing you are quoting said difference. The difference in declaring an income of 14k vs 48k is minor once you start getting social security, plus OP kept $34k a year when you add back whatever she gets from SS, the 14k scenario ends up ahead. Math don't lie.

Excuse me, but I said that I will more than get back what I put in. In no way did I say that I would pocket more more than someone who only declares 30% of their income. Personally, I wish that everyone was ethical and followed the laws, but I understand that there will always be people who feel that they have a right to do what they want, regardless of who else pays for their desires.

[Anonymous]

Anonymous wrote:OP and all others reading, now you see why most of us nannies just like to be paid in cash. Not only do we make 30-40% more than you, but we also don't have all these hoops to jump through. I only "made" ~$14,000 last year, so I get some nice government assistance, but I really made ~$48,000.

You're a jerk, and I hope you get caught. I work in welfare, and we don't care for people like you.

[Anonymous]

Anonymous wrote:

Anonymous wrote:OP and all others reading, now you see why most of us nannies just like to be paid in cash. Not only do we make 30-40% more than you, but we also don't have all these hoops to jump through. I only "made" ~$14,000 last year, so I get some nice government assistance, but I really made ~$48,000.

You're a jerk, and I hope you get caught. I work in welfare, and we don't care for people like you.

+1000

I had a life changing surgery in Feb 2014 and have not been able to work more than a few hours a week since then. I used food stamps for about six months until I figured that out. I receive no unemployment, no disability (that's in the works but has not been a straightforward process), no other assistance at all. I fucking needed it (and still do, frankly) and there is a special place in hell for you because that kind of jerking around the system is why I got kicked off of food stamps since I didn't have a disability claim - too many able bodied people were abusing that service. Buy your own damn food, you earn plenty.