Immigration reform and the nanny market

[Anonymous]

Anonymous wrote:15:56 here. I understand what you say because it was my experience in California that EVERYONE, vendors, service providers, nannies, wanted transact their business under the table to avoid taxes.

A furniture I used would label their goods as services, a jewelry store wanted to be paid all cash, the nanny wanted no part of employee taxes -- it made me uncomfortable because I have always been aboveboard in any tax matter.

How can it be that so many people in this country have no sense of obligation, duty and honesty when it comes to taxes.

Frankly, it makes me believe that even our newly legal immigrants (after the immigration reform act) will still prefer to get paid off the record.

Not EVERYONE. I've lived here for 30 years and always paid my nannies and housekeepers on the books. Every jeweler, electrician, painter, pool cleaner, tree trimmer, gardener, etc., my DH and I have had a license and been paid by check and invoiced. I think your experience is NOT representative of most Californians.

[Anonymous]

Anonymous wrote:

Anonymous wrote:There isn't enough availability for after-care right now.

If there is much more demand and families willing to pay for it, businesses will be created to meet it.

Because daycares pay so poorly, there's constant turnover. Even bad ones have waiting lists.

[Anonymous]

Anonymous wrote:

Anonymous wrote:15:56 here. I understand what you say because it was my experience in California that EVERYONE, vendors, service providers, nannies, wanted transact their business under the table to avoid taxes.

A furniture I used would label their goods as services, a jewelry store wanted to be paid all cash, the nanny wanted no part of employee taxes -- it made me uncomfortable because I have always been aboveboard in any tax matter.

How can it be that so many people in this country have no sense of obligation, duty and honesty when it comes to taxes.

Frankly, it makes me believe that even our newly legal immigrants (after the immigration reform act) will still prefer to get paid off the record.

Not EVERYONE. I've lived here for 30 years and always paid my nannies and housekeepers on the books. Every jeweler, electrician, painter, pool cleaner, tree trimmer, gardener, etc., my DH and I have had a license and been paid by check and invoiced. I think your experience is NOT representative of most Californians.

So happy that you are following the tax laws, like me, but I was suprised at the number of people in California who were not. I often had to walk away or turn away people who wanted to engage in these under-the-table transactions. I lived in southern California, Los Angeles area, where did you live?

[Anonymous]

Anonymous wrote:I pay well (18 for one child, 37 hours a week) on the books to a nanny who I suspect is illegal because I pay her taxes using a tax id number not a ss number (I pay both her and my portion of fica taxes). I love her more than anything and can't wait for her to be legal. The benefit to me is that she will be able to drive. The loss to me is that I will have to pay health insurance which may mean that either we cut out future raises or I cut her hours to under 35 depending on how much insurance will be (of course I'd prefer to give her insurance, but my family is literally just scrapping by - had to cut our 401ks to nothing to afford her).

She is a broken english nanny, btw, but she is wonderful with my kid (who now knows Spanish!). The choice is not exploited illegal or expensive legal. Some of us pay well to the best person we can find to help us raise our kids, whether she is legal or not.

Why will you HAVE to pay healthcare? It's far from standard.

[Anonymous]

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:15:56 here. I understand what you say because it was my experience in California that EVERYONE, vendors, service providers, nannies, wanted transact their business under the table to avoid taxes.

A furniture I used would label their goods as services, a jewelry store wanted to be paid all cash, the nanny wanted no part of employee taxes -- it made me uncomfortable because I have always been aboveboard in any tax matter.

How can it be that so many people in this country have no sense of obligation, duty and honesty when it comes to taxes.

Frankly, it makes me believe that even our newly legal immigrants (after the immigration reform act) will still prefer to get paid off the record.

Not EVERYONE. I've lived here for 30 years and always paid my nannies and housekeepers on the books. Every jeweler, electrician, painter, pool cleaner, tree trimmer, gardener, etc., my DH and I have had a license and been paid by check and invoiced. I think your experience is NOT representative of most Californians.

So happy that you are following the tax laws, like me, but I was suprised at the number of people in California who were not. I often had to walk away or turn away people who wanted to engage in these under-the-table transactions. I lived in southern California, Los Angeles area, where did you live?

Los Angeles, and before that, NorCal and San Diego.

[Anonymous]

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:15:56 here. I understand what you say because it was my experience in California that EVERYONE, vendors, service providers, nannies, wanted transact their business under the table to avoid taxes.

A furniture I used would label their goods as services, a jewelry store wanted to be paid all cash, the nanny wanted no part of employee taxes -- it made me uncomfortable because I have always been aboveboard in any tax matter.

How can it be that so many people in this country have no sense of obligation, duty and honesty when it comes to taxes.

Frankly, it makes me believe that even our newly legal immigrants (after the immigration reform act) will still prefer to get paid off the record.

Not EVERYONE. I've lived here for 30 years and always paid my nannies and housekeepers on the books. Every jeweler, electrician, painter, pool cleaner, tree trimmer, gardener, etc., my DH and I have had a license and been paid by check and invoiced. I think your experience is NOT representative of most Californians.

So happy that you are following the tax laws, like me, but I was suprised at the number of people in California who were not. I often had to walk away or turn away people who wanted to engage in these under-the-table transactions. I lived in southern California, Los Angeles area, where did you live?

Los Angeles, and before that, NorCal and San Diego.

Are you currently living and working in California? If not, did the high taxes in that State factor into your move away? How long have you been away from California?

[Anonymous]

Anonymous wrote:Last time illegals became legal, under Reagan, their wages went up by 15%.

I wonder how many parents are ready for that.

[Anonymous]

I don't think the nannies understand economics or data. The general rise in wages for individuals moving from illegal to legal status is driven by their ability to apply for different types of jobs.

There will be a greater supply of nannies eligible to apply for jobs requiring a legal nanny. The rates for jobs that want or must pay above the table will go down. There may be a smaller supply go illegal nannies who have no other work options, this supply may go down so the jobs that offer really crazy below minimum wage rates would go up.

There would be a negative impact on the higher paying jobs and a positive impact on the bottom paying jobs. This is better on average for nannies and employers as employers paying legally would have more affordable childcare options and more nannies would be able to apply for legal jobs.

[Anonymous]

You're right. Some nannies are dumb and some parents are slobs.

[nannydebsays]

Yes, 09:46, but since 85 - 90% of parents refuse to pay on the books or are willing to hire a nanny who refuses to be paid on the books, the greater supply theory doesn't really fit here.

Unless, of course, the Federal Government finally puts some teeth in the household employer laws WRT the IRS. Parents (or nannies) facing jail time for paying illegally would probably up the number of jobs only "legal" workers could take.

[Anonymous]

No one is going to jail. There's no room. But there could be stiff fines. Since you can't get blood out of a stone, parents are the ones who can pay up the penalties.

[Anonymous]

I find it hard to believe that 90 percent of nanny employers in DC area pay under table. Too many here that rely on government money or law to risk that.

[Anonymous]

Anonymous wrote:I find it hard to believe that 90 percent of nanny employers in DC area pay under table. Too many here that rely on government money or law to risk that.

This is true. Ours is illegal, but we still pay on the books because my dh is in govt. though we probably world have anyway (lots of illegals pay federal income tax despite the rhetoric floating around the media - IRS doesn't care whether you are legal or not and will take money happily either way).

[Anonymous]

nannydebsays wrote:Yes, 09:46, but since 85 - 90% of parents refuse to pay on the books or are willing to hire a nanny who refuses to be paid on the books, the greater supply theory doesn't really fit here.

Unless, of course, the Federal Government finally puts some teeth in the household employer laws WRT the IRS. Parents (or nannies) facing jail time for paying illegally would probably up the number of jobs only "legal" workers could take.

Where are you getting your figures?

[Anonymous]

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:15:56 here. I understand what you say because it was my experience in California that EVERYONE, vendors, service providers, nannies, wanted transact their business under the table to avoid taxes.

A furniture I used would label their goods as services, a jewelry store wanted to be paid all cash, the nanny wanted no part of employee taxes -- it made me uncomfortable because I have always been aboveboard in any tax matter.

How can it be that so many people in this country have no sense of obligation, duty and honesty when it comes to taxes.

Frankly, it makes me believe that even our newly legal immigrants (after the immigration reform act) will still prefer to get paid off the record.

Not EVERYONE. I've lived here for 30 years and always paid my nannies and housekeepers on the books. Every jeweler, electrician, painter, pool cleaner, tree trimmer, gardener, etc., my DH and I have had a license and been paid by check and invoiced. I think your experience is NOT representative of most Californians.

So happy that you are following the tax laws, like me, but I was suprised at the number of people in California who were not. I often had to walk away or turn away people who wanted to engage in these under-the-table transactions. I lived in southern California, Los Angeles area, where did you live?

Los Angeles, and before that, NorCal and San Diego.

Are you currently living and working in California? If not, did the high taxes in that State factor into your move away? How long have you been away from California?

We're still here. Paying a ton in taxes. Happy to be employed and living here, though.