Nanny sharing is a popular solution for families balancing quality childcare with budget constraints. This arrangement allows one nanny to care for children of more than one family simultaneously. This arrangement offers social benefits for the children and financial savings for the parents. At the same time, the nanny generally makes a slightly higher hourly wage. However, as beneficial as nanny sharing can be, it also comes with challenges. Let's explore some common issues in nanny-share situations and provide practical solutions to ensure a smooth experience for everyone involved.

Topics: nanny share, nanny, household payroll, homework solutions, childcare solutions

 

Topics: nanny, household payroll, homework solutions

Minimum wage will be increasing in many states and cities across the country.  As longtime advocates for fair and legal pay, we believe this is long overdue!  Domestic employees deserve a living wage that fairly compensates them for the invaluable work they do to keep our households running.

Topics: senior care, nanny, agency, senior, CPA

If you've worked as a household employee and received your pay 'under the table,' you might wonder about your eligibility for Social Security benefits when you retire. The answer is not straightforward and depends significantly on your marital status, work history, and how your income was reported.

Topics: eldercare, nanny retirement, W-2, nanny, caregiver, Senior Caregiver Payroll, senior home caregiver, domestic worker, childcare

When new household employees reach out to HomeWork Solutions for information on how their employers should report wages, some respond with “I don’t want to pay taxes, maybe we will just do this under the table.” While under the table payments might seem tempting at first, it really isn’t a good idea to work “off the books." We remind these callers when unreported or under-reported income comes to light the taxpayer not only owes the original amount, but also penalties and interest. Often these callers ask how the IRS will find out about the payments.  So, let’s look into how under the table wages may be discovered.

Topics: senior care, nanny, agency, senior, CPA

Nanny work agreements play a vital role in establishing a successful nanny-employer relationship. These documents provide a clear framework for the employment arrangement and help prevent potentially damaging misunderstandings. 

Topics: nanny, agency

In the world of employment and compensation, bonuses are like icing on the cake. They are the reward that make hard work and dedication feel appreciated and recognized. For hourly employees like nannies, caregivers, and , bonuses can take two primary forms: discretionary and non-discretionary. But what are the key differences between these two, and how do they impact overtime pay? 

Topics: senior care, nanny, agency, senior, CPA

In the modern economy, more and more households are hiring domestic help, whether it's a nanny, caregiver, or housekeeper. These household employees play a crucial role in keeping our lives running smoothly, and it's important to recognize their dedication and hard work. One effective way to show appreciation and also maximize tax savings for you, and your employee, is by offering a Qualified Small Employer Health Reimbursement Arrangement (QSEHRA) or an Individual Coverage Health Reimbursement Arrangement (ICHRA).

Topics: nanny agencies, senior care, nanny, nanny tax, household payroll tax, nanny benefits, household independent contractor, household payroll, agency, senior, CPA

Updated December 2023

Every year HomeWork Solutions prepares a summary of new or updated household employment tax laws and benefit information.

HOUSEHOLD EMPLOYEE 2024 WAGE BASE:

The IRS annually reviews, and adjusts as necessary, the wage payment threshold that obligates a family to pay Social Security and Medicare taxes.  These tax withholdings are reported annually on a W-2.  This threshold will increase to $2,700 for 2024.

Topics: nanny, agency, senior, CPA

It is time to plan ahead and have an inclement weather policy in place for the upcoming winter weather. Snowy or icy conditions can be unsafe, and safety should always be the top priority when determining if an employee should commute in to work. In the event of a weather emergency, having an inclement weather policy in place ensures everyone knows what to do.

Topics: payroll, nanny agency, senior care, nanny, nanny work agreement, household payroll, senior