SEP (retirement plan) and employer taxes

[Anonymous]

We'd like to help our nanny save for retirement, so would like to contribute $5,000 per year.

Establishing an SEP seems like a good strategy, because it wouldn't affect her taxes now, and when she retires, she would be in a much lower tax bracket (since she will return to her home country. She has a visa here now).

Several web sources i've seen suggest that a) the SEP contributions we make may be deductible, and b) there may be a $500 tax credit for the first three years we offer this product.

We've written our nanny payroll processor three times with no response (admittedly it's a busy time as many people are filing taxes).

Can anyone confirm that these contributiosn are tax deductible? And if so, where would we enter them on turbotax?

Thanks

[Anonymous]

You might want to post this in the regular parent forum under Childcare. There are mostly nannies posting in this forum.