Anonymous wrote:If I indicate in the contract that nanny has to pay her own taxes is that sufficient in avoiding problems later or do I have to pay nanny taxes? What is the law on that in DC?
It's actually illegal to 1099 a household employee, and nannies are household employees.
If you were to suggest to me that you wished to treat me as an IC, I would explain the law to you, and, if I were truly desperate for a job, I would accept the position at an hourly rate n25% higher than my normal rate for a job like yours, so that I could cover the expenses of paying YOUR share of employment taxes, pay a terrific accountant to do my taxes, and save money to cover any penalties that I might incur when I filed my taxes and the IRS saw that you were a tax cheat and came after you for back taxes and penalties.