Knowledge Center
Senior Care Employers
Senior Caregiver Hiring: Employee or Independent Contractor
The IRS is increasing its focus on improperly classified domestic workers, including those hired as senior home care professionals. As an employer of a household employee, you must be aware of these changes for tax season. Misclassifying a household employee as an independent contractor can expose the household employer to multiple risks. An adult over […]
I have someone 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 $3,000 cash wages (2024) 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 […]
7 Rules When Hiring Senior Home Care
When hiring senior home care you must approach this methodically and not skip important steps. 1. Job Description and Household Rules Your first step is to do a needs assessment. The more specifically you can identify your senior’s needs – physical, medical and emotional – the better equipped you will be to define senior home […]
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?” […]
4 Common Errors: The Nanny or Senior Caregiver Compensation Offer
You have a new baby in the house, you are not sleeping well, and you need to line up a great nanny before you return to work. Or mom is declining and you have to hire a senior caregiver to stay with her while you are working because she just is not safe alone any […]
G-5 Employee Workers’ Compensation Insurance
Workers’ Compensation is insurance protection mandated under state law for a worker and his or her dependents against injury and death occurring in the course of employment. It is not health insurance, and it is not intended to compensate for a disability other than disability caused by injury arising out of employment. If your employee, […]
Outsourcing Schedule H to a Household Payroll Specialist
Busy tax preparation firms always encounter a few clients who come to them during busy season with household payroll that has not been attended to throughout the prior year. The client is most interested in fast turnaround of a W-2 form for their nanny or housekeeper, under pressure from their employee to get things together and […]
Senior Caregiver Employment Application Tips
Is a senior employment application really necessary? Imagine this… A lovely person is sitting in your mother’s living room. Lately you and mom acknowledge that it would be better if mom had some help at home so she could continue to live at home, even as living there has become somewhat difficult. There are some […]
Trust Company Liable for Non-payment of “Nanny Taxes”?
Emergency Nanny Income During a Pandemic
19 March 2020 Summary Over the last several days, attempts to contain and slow the spread of the novel coronavirus have severely disrupted 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?” […]
Why can’t we just pay Mom’s senior caregiver/housekeeper a salary?
Senior caregivers are hourly employees under the law. Housekeepers and senior caregivers who are not “companions” are classified under the Fair Labor Standards Act (FLSA) as hourly employees entitled to minimum wage and overtime (non-exempt). The term non-exempt employee refers to a worker who IS subject to the terms of the FLSA regarding such issues […]
Do I need to pay my senior caregiver overtime or minimum wage?
The nature of the services you require from your senior caregiver determine your obligations for overtime and minimum wage payments. Domestic employees, including senior caregivers, have been covered by the Fair Labor Standards Act (FLSA) since 1974. Please note that many states have stricter laws and standards for home care assistance pay than the FLSA, […]