The difference between a nanny and an occasional babysitter, and even a pet sitter, is how much they make a year. If it is below $1800/yr, then it is not taxed with employer taxes. If it is above $1800/yr, then it is (there is also a certain amount for the maximum each quarter).

It's as simple as that. An occasional sitter usually doesn't make that much money each year.

I think you are over reacting. It is the same thing when a person babysits for a family. I doubt if they are paid on the books. If you take care of pets also.

Anonymous wrote:Nannies can collect unemployment if paid off the books. The employers will be in trouble with the irs for not paying taxes. They'll penalties and late fees. But she'll be able to collect. It's an ace in her pocket to make sure she is treated right by the family and let go with enough time to find a new job.

Nannies can get into a lot of trouble too. Don't kid yourself.

Anonymous wrote:

Anonymous wrote:Nannies - just remember that if you work off the books, you will not build up your social security for when you retire. Also, you won't be eligible to collect unemployment when the job ends. It's better to find an employer who thinks enough of you to act like an employer is supposed to act.

Don't do it, nannies!

I completely agree! Another thing to remember is that it costs more to do taxes as an independent contractor and, by law, your employers are supposed to pay for certain parts of your taxes. As an independent contractor, you have to pay for all of your own taxes which can be a big bill at the end of the year!
I will never again take a nanny job that is off the books! Some nannies who do not file taxes or don't claim any earnings don't care, but for others, it sucks.

If you are paying taxes as an independent contractor, then it is on the books, just not being dealt with in the correct manner. Nannies cannot be independent contractors, since they do not get to choose their own hours and decide what duties are done every day. The parents have outlined what duties are to be included and set the schedule. If a nanny works at her own home, having you drop off to her and she gets to decide the hours and what she chooses to do in all aspects, then she is an independent contractor but I think that it would have to just be one family that she works with and not more than that otherwise she needs to be licensed. Independent contractors pay taxes in a different way but still pay, and the parents report how much they have paid as well. Off the books means that there is NO reporting of wages and no taxes being paid.

Nannies can collect unemployment if paid off the books. The employers will be in trouble with the irs for not paying taxes. They'll penalties and late fees. But she'll be able to collect. It's an ace in her pocket to make sure she is treated right by the family and let go with enough time to find a new job.

Anonymous wrote:Nannies - just remember that if you work off the books, you will not build up your social security for when you retire. Also, you won't be eligible to collect unemployment when the job ends. It's better to find an employer who thinks enough of you to act like an employer is supposed to act.

Don't do it, nannies!

I completely agree! Another thing to remember is that it costs more to do taxes as an independent contractor and, by law, your employers are supposed to pay for certain parts of your taxes. As an independent contractor, you have to pay for all of your own taxes which can be a big bill at the end of the year!
I will never again take a nanny job that is off the books! Some nannies who do not file taxes or don't claim any earnings don't care, but for others, it sucks.

Anonymous wrote:Outside of DC it's very common. I'm in Boston and I can't find a job on the books. You just need to cover your ass in case the nanny tries to screw you over

Decent people do not cheat their nannies by paying them under the table.

Anonymous wrote:

Anonymous wrote:My impression is that it's not hard to find nannies who want to do this. It's also apparently still the norm outside the DC area where people have security clearances and political ambitions.

Do you mean it's the norm inside the DC area? My impression is that there's a lot of off-the-books compensation here, from childcare to housekeeping.

Interesting question. I don't know but in my circle there are a lot of lawyers and people with clearances so either they are all legal or do daycare. But I get the impression that in different circles, it is common.

Anonymous wrote:My impression is that it's not hard to find nannies who want to do this. It's also apparently still the norm outside the DC area where people have security clearances and political ambitions.

Do you mean it's the norm inside the DC area? My impression is that there's a lot of off-the-books compensation here, from childcare to housekeeping.

This is illegal and there is no grey area there so you shouldn't do it for that simple reason--it is illegal.

For those who are saying nannies need to cover their ass and protect themselves, I have to say that when you pay under the table, both the family and the nanny saves taxes so you are robbing the government but both parties benefit. Think about that when you can't collect unemployment--you've been benefiting with higher pay the entire time you were employed.

the fines and penalties are not worth it. Dont you think more of your nanny than this.

Nannies - just remember that if you work off the books, you will not build up your social security for when you retire. Also, you won't be eligible to collect unemployment when the job ends. It's better to find an employer who thinks enough of you to act like an employer is supposed to act.

Don't do it, nannies!

Outside of DC it's very common. I'm in Boston and I can't find a job on the books. You just need to cover your ass in case the nanny tries to screw you over

My impression is that it's not hard to find nannies who want to do this. It's also apparently still the norm outside the DC area where people have security clearances and political ambitions.

I know this is not legal but do people still do this...and how do you find a nanny willing to do this arrangement?