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The Dangers of Underreporting Wages

Posted by HomeWork Solutions on 4/13/23 2:24 PM

If you have recently hired a new employee to work in your home, it’s important to get their payroll details lined up immediately. Deciding to pay them partially off the books to save on taxes, but partially on record to contribute to their work history, is illegal and you’ll only create a headache for yourself later when the full picture comes to light. Here, we’ll explain why.

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Topics: senior caregivers, senior care, nanny, senior

A Case Study About Take Home Pay

Posted by HomeWork Solutions on 3/28/23 11:15 AM

Adele’s elderly mother expressed her desire to stay in her home independently rather than move into assisted living.  Adele did her research to find a qualified and compassionate caregiver to assist. After recently giving up her driver’s license due to health complications, it was critical for Adele’s mother to have a caregiver who would help with with transportation to and from medical appointments, meetings with friends,  and provide assistance with grocery shopping.

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Topics: senior care, nanny, Senior Caregiver Payroll, agency, senior, CPA

Paying Estimated taxes if your employer does not withhold income taxes

Posted by HomeWork Solutions on 1/17/23 12:54 PM

If you are working as a household employee, it is important to understand what taxes you will need to pay. It is easy to feel confused about what you need to pay and when. This is especially true if your employer does not withhold income taxes from your paychecks.*  Here are some important tips.

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

What You Need To Know About Year-End Bonuses

Posted by HomeWork Solutions on 11/22/22 11:24 AM

The end of 2022 is right around the corner. This is a popular time for household employers to recognize their employees with a holiday bonus. A bonus is a great way to show your appreciation for a job well done and shows your employees that you are grateful for their dedication.

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

Paying Your Nanny $800 Take Home Weekly: A Case Study

Posted by HomeWork Solutions on 11/15/22 11:00 AM

Kelley R. is a licensed social worker and a new mom. She and her husband hired a nanny so she could go back to work. After reviewing their budget, Kelley and her husband found a great nanny through a friend’s recommendation. Kelley saw no problem with agreeing to her request for a weekly wage of $800 take home after taxes, about $41,600 per year. Kelley found that getting all the reporting and tax calculations right – particularly when working from a net take home pay – proved to be a headache.

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

Paystubs for Your Caregiver or Nanny

Posted by HomeWork Solutions on 11/8/22 11:00 AM

When you hire someone to work in your home, it is important to make sure you classify their employment correctly, and pay them legally. Most household workers are classified as employees, and with that employment relationship comes payroll and tax reporting requirements. Providing a paystub is one of these requirement in most states. The only states without paystub laws are Alabama, Florida, Arkansas, Georgia, Louisiana, Mississippi, Ohio, South Dakota, and Tennessee.

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Topics: worker misclassification, payroll, senior care, nanny, wage theft prevention, agency, senior, CPA

Background Checks and Reference Checking

Posted by HomeWork Solutions on 8/9/22 10:45 AM

When hiring an employee to work in your home, conducting background checks and calling references are key parts of the hiring process. Understanding the information that you will get from each can be the difference between a good hire and a bad one.

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Topics: household employee background check, senior care, nanny, nanny tax, caregiver background screening, nanny background screening, senior

Raise And Review Time Is A Good Time To Get On The Books

Posted by HomeWork Solutions on 8/2/22 10:45 AM
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Topics: senior care, nanny, nanny tax, agency, senior, CPA

Minimum Wage Increases Coming in July 2022

Posted by HomeWork Solutions on 6/21/22 11:00 AM

Governments are recognizing the need to ensure household employees are paid a living wage and slowly phasing in wage increases over a series of years.  Effective July 1, 2022, 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!

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

IRS Increases Mileage Reimbursement Rate for 2022

Posted by HomeWork Solutions on 6/10/22 4:41 PM

On June 9th, 2022, the IRS announced that the tax-free mileage reimbursement limit will be increased to 62.5 cents ($0.625) per mile, effective July 1 through December 31, 2022.  This increase of $.04 per mile is in recognition of recent increases in gasoline prices nationwide.

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Topics: senior care, nanny, nanny tax, nanny benefits, CPA

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