Anonymous wrote:The minimum quarterly amount for requiring taxes is very low (1800-2K total over a quarter) so you'll need to do taxes.

1. DO NOT agree to pay your nannies taxes for her. If she pretends she has never heard of taxes move on.
2. You are required to be pay 50% (employer share) of SSN/Med and withhold the other 50% from her gross pay. You file both amounts. If you fail to withhold her portion, you are legally responsible.
3. As an individual employer, you are not required to withhold her income fed or state. You can offer to do this if you are comfortable with doing taxes but if not, don't do this.
4. When you hire a nanny you quote GROSS pay not NET pay. You can point the nanny to a tax calculator so she can understand what her net pay would be but you don't control the tax code so you can't guarantee net.
5. Health insurance is a benefit not a requirement. Not all nannies want or need this. For some its a great perk and others just want the money. You should never agree to provide insurance as picking a policy and the cost is dependent on her personal health needs and conditions. You can offer a contribution toward her health care plan (that she is responsible for picking). You should offer a set amount (100-200 a month) not offer to pay for he plan because you have no idea what this will be. You also need to either write the check directly to the insurance company or get receipts from her for this to be tax deductible. If you just give her the money, its taxable income.
6. Check your home or renter's insurance, this should be fine. You would acquire workers compensation insurance which covers any accident she has while working for you. The renter's or home is more for damage to the property she could cause which is less likely. If she is driving, you need to look into an insurance rider for this.

Who can we thank? Kathy?

Anonymous wrote:

Anonymous wrote:The minimum quarterly amount for requiring taxes is very low (1800-2K total over a quarter) so you'll need to do taxes.

1. DO NOT agree to pay your nannies taxes for her. If she pretends she has never heard of taxes move on.
2. You are required to be pay 50% (employer share) of SSN/Med and withhold the other 50% from her gross pay. You file both amounts. If you fail to withhold her portion, you are legally responsible.
3. As an individual employer, you are not required to withhold her income fed or state. You can offer to do this if you are comfortable with doing taxes but if not, don't do this.
4. When you hire a nanny you quote GROSS pay not NET pay. You can point the nanny to a tax calculator so she can understand what her net pay would be but you don't control the tax code so you can't guarantee net.
5. Health insurance is a benefit not a requirement. Not all nannies want or need this. For some its a great perk and others just want the money. You should never agree to provide insurance as picking a policy and the cost is dependent on her personal health needs and conditions. You can offer a contribution toward her health care plan (that she is responsible for picking). You should offer a set amount (100-200 a month) not offer to pay for he plan because you have no idea what this will be. You also need to either write the check directly to the insurance company or get receipts from her for this to be tax deductible. If you just give her the money, its taxable income.
6. Check your home or renter's insurance, this should be fine. You would acquire workers compensation insurance which covers any accident she has while working for you. The renter's or home is more for damage to the property she could cause which is less likely. If she is driving, you need to look into an insurance rider for this.

Who can we thank? Kathy?