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Employer Issues
Reply to "More common to pay taxes?"
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[quote=nannydebsays][quote=Anonymous]Op here - I'm sorry. I wasn't clear. Do most people pay the agreed upon rate (let's say 600.00 a week) which is before taxes, or do most people pay the 600.00 rate plus whatever taxes are required (thus making the out of pocket rate for the employer much higher). We will have the service take care of the withholding of the taxes - I just don't know if we should cover the expense of the taxes or have the 600.00 a week be the gross salary. [/quote] You need to pay nanny a gross rate and have her taxes withheld from that fixed weekly amount of money. It's *possible* to "pay her taxes" as her employer, but it's 100 times more complex and it's really not worth it. Speak to any of the nanny tax companies and get the scoop. If the candidate is asking to "take home" a certain amount each week, it's possible to work backwards from that (her NET income) and find the corresponding gross hourly rate and weekly pay. [/quote]
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