Household Employment Blog | Nanny Tax Information

What Goes into a Proper Nanny Pay Stub?

Written by HomeWork Solutions | 7/30/19 7:55 PM

You’ve found a nanny, negotiated wages, and she has started work in your home. Now comes the tricky part of figuring out her payroll tax deductions and issuing the pay stub. If you have never done this before, it can be challenging. Here are some of the main details that need to be remembered when it comes time to pay your nanny.  

Your first step is to make sure the pay stubs are itemized, each time. 39 states require that you provide an itemized pay stub to your employee. The rationale behind these laws is to protect the employee from wage theft - the situation where employees are not properly paid for all hours worked, overtime is not calculated, and/or there are improper deduction from the employee's pay check. Statements should include these primary items:

  • Date of wage payment
  • Dates of pay period covered by the payment
  • Gross wages paid
  • Net wages paid
  • Hours worked during pay period
  • Deductions from wages
  • Additions to wages, if any

If you are not sure how to go about figuring out the variety of deductions that need to be made regarding income tax withholding or social security, don’t worry! Working with our experienced team of payroll specialists at HomeWork Solutions means that you won’t need to be concerned about leaving anything out or misreporting wage information. All the wage statements included with our Complete Payroll Service will satisfy all pay stub reporting rules. Its absolutely effortless on the family's part.

We also offer the ability to subscribe to our Essential Payroll service that will help you compute and make your own payments. With this service you are responsible to issue the pay stub and you must maintain records of all payrolls you issue.  Should you decide you  want to avoid compliance issues, you can upgrade to our Complete Payroll Service at any time. Paying your employee correctly is very important. If you inadvertently leave something out of the pay stub or decide to pay off the books, you could be subject to hefty penalties or fines when it comes time to report taxes.

Contact us today for information on working with our team of highly trained and experienced payroll specialists.  We are glad to help you get started so you can have peace of mind with each paystub that is distributed!