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Employer Issues
Reply to "Nanny payroll service a reasonable request?"
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[quote=Anonymous]We recently hired a babysitter to work 15 hours per week. We told her up front that we needed her to pay taxes and we would cover SS, unemployment, etc. After two weeks of work she asked if we could 1) withhold taxes for her and 2) do direct deposit because it took 3+ days for the funds to become available from a check deposit, which was a hardship. She suggested using HomePay, which her previous employer used. While I understand it would be much more convenient for her, I am balking at the fees! It would cost ~$1000/year to use HomePay with Direct Deposit. Her annual pay will come to about $21,000, which means the HomePay fee is almost 5% of her salary! Should I just suck it up and pay for the service? Should I suggest splitting the fee? We've never had this issue before in the 12 years we've had babysitters![/quote]
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