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Reply to "Nanny Rate - Tax Question"
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[quote=Anonymous][quote=Anonymous][quote=Anonymous]OP, part of the reason you’re paying higher is because it’s part time, which always increases the rate; it sounds the rate is $23-25 for full time, so assume $24-26 for part time. Now, with everyone and their sister wanting a nanny due to distance learning and covid, rates are higher. If you intend to ask a nanny to limit outside interaction to limit covid risk, $26-28 (gross) would be what I’d expect.[/quote] This makes sense. We had hoped for $25 or less. I don’t mind bumping up to $26~. But I was playing around with tax calculators and we’d have to pay over $30/hour to make the take home pay match what a person would bring home with cash payments, which is a huge price jump.[/quote] NP, but PP hit the nail on the head. With full-time work, you generally get some overtime, which is 1.5 times the regular rate. With part-time work, they will never get overtime and depending on the schedule it may be hard for them to secure any other work, so that may be the reason they want to be paid more. [/quote]
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