Am considering hiring a nanny and would like some info about whether I need to withold her taxes, federal or state, or social security, or whether she can take care of all of it on her own.
If I do need to go about witholding for her, how do I go about setting it up?
Thanks,
Harrison

Zip Code: hkrheemd@gmail.com

type the word "breedlove" into google. They provide a lot of information.
disclaimer- I have never used them but heard they were good.

We wrote about the Nanny Tax rules in our April, 1997 newsletter which you can still access at:

http://www.mdtaxes.com/news0497.html


One change from 1997 is that the amount a nanny can earn before you need to worry about social security and Medicare taxes has increased to $1,500 per year.

Zip Code: cpa@mdtaxes.com

I suggest you get a copy of Schedule H, Household Employment Taxes and read the related instructions. It will give you most of the information you need.

Also, depending on your state, you may have to provide Worker's Compensation coverage, which covers them if they are injured on the job. In Ohio you have to cover domestic employees more or less immediately.

Zip Code: garyd@davisandbrandel.com