Reply to Still so confused over taxes- help!

Forum Index » Employer Issues

Reply to "Still so confused over taxes- help!"

Subject:

Emoticons





More smilies

Text Color: Font: Close Marks

[quote=nannydebsays]OP, if you are paying your nanny $1000 a week NET, then you are also paying her share of the taxes on that 1K, you are actually paying her about $1200/week. You are, frankly, screwing yourself over.

Since you will be hiring a new nanny, during the vetting process be sure to explain that you will be withholding all applicable taxes from her weekly paycheck, and then submitting them to the government via whatever tax service you use.

You can actually google "nanny tax calculator", and print out some examples of how much a nanny might take home based on X, Y, or Z hourly wage, and then show those papers to nannies when you have the following discussion with them:

You: "Nanny, we are offering an AVERAGE hourly rate of $18.50 GROSS for 50 hours of work per week. That means you will earn $925 GROSS per week. We will hire a payroll company to manage tax withholdings. You will fill out a W4 form before you start working for us, and then we can give you an exact breakdown of the taxes that will be withheld from your check, and your exact NET weekly pay. As an estimate, your take home pay or NET pay per week will be around $740."

Then in the contract you break down the AVERAGE hourly rate into straight time and OT ($16.82 and $25.22) to be completely legal and offer full disclosure.[/quote]

Options

	Disable HTML in this message
	Disable BB Code in this message
	Disable smilies in this message

Review message

Search Recent Topics Hottest Topics