How Do I Pay Nanny Taxes?
What is the Nanny Tax? If you have a Nanny, you might be subject to the “Nanny Tax”. What is the Nanny Tax? Well, if your nanny watches your children in your home, and you pay them more than $2,000 a year, which you will probably hit after 4-6 weeks of having a full-time Nanny, then you have yourself what the IRS calls a Household Employee. Now if you are in the mood for some light reading, the IRS puts out Publication 926, Household Employer’s Tax Guide annually. If you are like me, the following article will bring you up […]
