Knowledge Center

Topic

• About the Social Security Number Trace

  Hiring families may have questions about the Social Security Number trace they receive as a result of the pre-employment background check order they run on their nanny, housekeeper or care giver candidate. The following FAQ about the SSN trace will assist in interpreting the report. What is a social security trace?A social security trace is... Read more »

• I have a housekeeper working in my home. What taxes do I need to pay?

  In general, the Internal Revenue Service requires payroll tax filings by a domestic employer (household employer) who pays a housekeeper or other household employee more than $2,700 cash wages (2023) in a calendar year*. These payroll taxes are collectively referred to as “nanny taxes”, although as a practical matter these employment taxes are applied to… Read more »

• Is my nanny an “Independent Contractor?” Can I do that?

  Is my nanny an independent contractor? Can I give my nanny or senior caregiver a 1099  and let her file her own taxes? Most Workers are Employees! The US Department of Labor's Administrator of the Wage and Hour Division, David Weil, clearly stated on July 15, 2015 that most workers are considered employees under the... Read more »

• This is complicated…What are the risks if I ignore the Nanny Taxes?

  Household employment taxes are complicated! Learn more about what the risk factors are for ignoring nanny taxes below. Risks When You Ignore the Nanny Taxes We know that lots of families skip the the nanny tax. If you are thinking of going in that direction, please be sure you consider the following: Tax Fraud (a… Read more »

• Who actually performs the nanny background investigations?

  Nanny, housekeeper and senior caregiver background checks are provided by a third party, National Crime Search, Inc., an Arkansas-based corporation with a national background screening network. National Crime Search is in compliance with the Professional Background Screening Association and formally recognized as BSCC-Accredited. Nanny background checks are a vitally important part of the nanny hiring process… Read more »

• Emergency Nanny Income During a Pandemic (Old – Redirected)

  17 March 2020 Summary Over the last several days, attempts to contain and slow the spread of the novel coronavirus are severely disrupting everyday life in the USA. Worries are running the gamut from, “Where can I find toilet paper?” to “I can’t work, I’m not being paid, how can I pay for toilet paper?”… Read more »

• State Minimum Wages

  NOTE:  If your state’s minimum wage rate differs from the federal rate, then the employer must pay the higher of the two rates for a domestic worker's minimum wage. Nannies, housekeepers, and most senior caregivers are covered by minimum wage legislation. They must be paid for every hour of work at no less than the... Read more »

• The order form asks for type of business. I am hiring a nanny? What do I answer?

  If you are an individual (NOT a business) ordering pre-employment screening or background check form for hiring a nanny, housekeeper, senior caregiver, homecare worker, etc. that you will privately employ (meaning YOU are paying the employee directly) you should choose Sole Proprietor as the business type, and describe business activities as “I am a household… Read more »

• What are the recommended items to be checked for nanny background screening?

  Thorough caregiver background checks are critical. Nanny background screening is not just for nannies!  This applies equally for screening a privately hired senior caregiver who will care for a vulnerable adult. County record searches should be ordered in every jurisdiction that the candidate has lived in the last 7 years. You will want to verify… Read more »

• Nanny Tax Wage Test Steadily Increases

  HomeWork Solutions, Inc., December 2022 The nanny tax wage test, the minimum amount of wages paid that obligates the household employer for household employment taxes, is $2,700 of wages paid to an employee in the year 2023 (or $1,000 paid total in a calendar quarter for FUTA tax). Nanny tax legislation enacted in 1994 dramatically… Read more »