A client calls and say "I want to pay my nanny $16.00 an hour take home, can you help me?" When I hear this question it is like nails on a chalk board; however it’s also a great opportunity for me to explain the nanny taxes, how payroll works and why paying a net per hour is the worst idea.  This is often referred to as 'Grossing Up' a paycheck and it can lead to major headaches.

Topics: nanny, nanny payroll, nanny payroll tax, nanny hourly wage, nannies

Don’t be stuck in fear ! We are here to help you! 

I have told many of our clients that they are not the first person that we have helped when they were behind on their nanny taxes. I tell them that because it’s true!

Topics: household employee taxes, W-2, nanny payroll tax, nanny tax, nanny taxes

 'Oh what a tangled web we weave when first we practice to deceive' 

Topics: nanny payroll tax

Several months ago we blogged about the US Supreme Court's findings on the Defense of Marriage Act (DOMA) and how this impacts household employers or household employees in a valid same-sex marriage.

Topics: nanny payroll tax, nanny tax, household payroll

There is good news for household employers who pay their nanny or senior caregiver "on the books."  These employers are often eligible for tax savings on their personal income tax returns.  And these tax savings often go a long way towards offsetting the household employer taxes they paid!

Topics: nanny payroll tax, nanny tax, nanny taxes, nanny health insurance

Federal legislators are scrambling to raise revenues and lower expenses to reduce deficits, and the Internal Revenue Service (IRS) is under considerable pressure to improve tax collections. Employment taxes, including the "nanny taxes", are estimated to be undercollected by $73 -78 Billion per year.

Topics: babysitter nanny tax, nanny payroll tax, nanny tax, household payroll tax

The IRS reports that audits of tax returns with income over $200,000 increased by 13% in 2012 over the prior year. The Wall Street Journal's Market Watch recently published advice on 5 steps to take to avoid an IRS audit on your Federal income tax return.

Topics: babysitter nanny tax, nanny payroll tax, nanny taxes, payroll tax enforcement

Did you know that every paycheck's net or take home calculation will change in 2013? Calculate your nanny paycheck deductions before you issue any 2013 payroll.

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

December 21, 2012 3:47 PM

Topics: nanny payroll tax, calculate nanny payroll tax, household payroll tax, nanny tax calculator, nanny social security tax rate, household paycheck calculator

San Jose’s Measure D, which will increase the current city’s minimum wage from $8 to $10 per hour effective March 2013, passed with overwhelming voter support. 

San Jose is now one of the two cities in California whose minimum wage has gone up independently of the state's.  San Francisco has enforced its own minimum wage for many years.  There are only a handful of other cities nationwide that set their own minimum wages: Washington, D.C., Santa Fe and Albuquerque, N.M.

Household employers in San Jose whose pay their employees minimum wage need to adjust their salary to reflect this new rate in March 2013.

Stay tuned for more updates from The Nanny Tax Experts.

Topics: nanny income tax, nanny payroll tax, calculate nanny payroll tax, household payroll tax, california household employment