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Anonymous
Anonymous wrote:So what you're saying is that live-out nannies should have to pay taxes on every penny they earn, then turn around and pay rent, food, utilities. But live ins should be able to basically get those items for free and then NOT have to pay taxes on the value of that? Seems pretty unfair to the live out nanny.

I agree.
Anonymous
Just an FYI, not all Live-in nannies make less than live outs. There are lots of people who pay more for a live in because they need the flexibility, convenience and reliability of having someone live in (or on the property).

That being said, I have never heard of a live in nanny paying taxes on the value of her room and board.
Anonymous
Anonymous wrote:Just an FYI, not all Live-in nannies make less than live outs. There are lots of people who pay more for a live in because they need the flexibility, convenience and reliability of having someone live in (or on the property).

That being said, I have never heard of a live in nanny paying taxes on the value of her room and board.

This poster is absolutely correct. No nanny would allow that c**p, unless maybe they were giving her a completely separate cottage or something to live in.
Anonymous
Anonymous wrote:Both Breedlove and Intuit are stumped on managing the necessary state tax withholdings from our live-ins lodgings.

Help! Currently accepting any and all recommendations for MD savvy payroll services.

Why are you worried about this?
Anonymous
OP here. Breedlove told me the wrong thing (I think) about taxing the lodging and I was overhwhelmed because I don't want to get anyone into trouble with the IRS while making sure she makes the most money possible after taxes.

And for what it's worth, she has her own living room, kitchenette, bathroom, bedroom, and entrance/exit. And she said she sleeps very soundly at night. AND we make sure to keep the house quiet until at least 11am on the weekends.

Not every employer tries to be terrible. We actually try to be fair and keep her comfortable.
nannydebsays

Member Offline
Anonymous wrote:So what you're saying is that live-out nannies should have to pay taxes on every penny they earn, then turn around and pay rent, food, utilities. But live ins should be able to basically get those items for free and then NOT have to pay taxes on the value of that? Seems pretty unfair to the live out nanny.


Nope, I am saying that a LI nanny, in general, puts up with a certain amount of...inconveniences that a LO nanny is able to avoid. And I can't see the logic in a state choosing to tax a LI nanny based on the benefits her EMPLOYER gets by having a LI.

everyone is different, but I would choose the horrible burden of being a LO and having to pay for housing and food over having to LI someone else's home 24/7/365. Heck, just the ability to know that my living situation wasn't dependent on my keeping my employers 110% happy with me all the time is worth that extra expense.
webbkathy

Member Offline
I don't know enough particulars of your situation, but this is where you can start.

http://www.4nannytaxes.com/index.cfm/faq/nannyhousekeeper-faq-list/mealslodgingliveinnanny/

We offer free telephone consultation - give us a call to chat.

Kathy Webb
HomeWork Solutions Inc.
703.404.8151

Kathy Webb
HomeWork Solutions Inc.

http://www.HomeWorkSolutions.com
800.626.4829

Simplifying Nanny Tax Compliance Since 1993
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