As families begin preparing their personal income tax returns, we are often asked whether the "nanny taxes" apply to the family's weekly cleaning person.

Topics: nanny payroll tax, nanny tax, domestic workers bill of rights

Nannycare is expensive, and families often wonder, shouldn't we just find a good daycare? HomeWork Solutions reached out to Marc Lenes, the owner of Wee Care Nanny Agency, a household staffing agency founded in 2001 and based in Stamford, CT to make the case for nannycare. Marc has many years of experience talking families through the various childcare options.

Topics: nanny employment practices, nanny employee

Topics: nanny w-2 form, nanny income tax, nanny tax

California State Assemblyman Tom Ammiano (D-San Francisco) is set to introduce legislation in the California State Assembly modeled after 2010's New York Domestic Worker's Bill of Rights.

Topics: nanny employment practices, nanny tax, domestic workers bill of rights, nanny work agreement

Employing a nanny is expensive. After the family's mortgage payment, the nanny's salary is often the biggest expense in the household. Add the cost of taxes on top of this and many families wonder "Why?" They reason that not paying the taxes lets the nanny keep more money and saves them 10% on taxes. The nanny makes little enough anyway - why should she have to pay tax?
Reporting nanny wages and paying Social Security taxes is the law. It is also the right thing to do for your nanny. Think about it. When you and your nanny agree to pay 'off the books' you are mutually agreeing to break the law. Is that the way you want your employment relationship with your nanny to start out? What message does that send her?

Risks of Nanny Tax Avoidance...

Topics: nanny payroll tax, nanny tax, nanny taxes, nanny tax compliance

Topics: nanny payroll, nanny payroll tax, nanny tax, nanny social security tax rate

Actor Robert DeNiro and wife Grace Hightower settled a longstanding legal dispute with their former nanny, who sued for unpaid overtime and holiday pay. Barry's original court filing in Manhattan in 2009 sought $40,000 in unpaid wages. The $30,000 settlement, agreed to by all parties, represents unpaid overtime alleged to total 750 hours and holiday pay for a 9 month period of employment from 2006 - 2007.

Topics: nanny hourly wage, nanny non-exempt employee, nanny overtime

Note: Special thanks to our guest blogger, Bob King, for his discussion below on nanny employment termination and the return of family property.  Bob is an attorney and founder of Legally Nanny, the leading law firm providing legal and tax advice to household employers.

Topics: nanny return of family property, nanny employment termination, nanny separation

Illinois Governor Quinn signed legislation on Thursday, January 13, 2011 that increased income taxes for Illinois residents.

Topics: nanny payroll, nanny payroll tax, calculate nanny payroll tax