States use a Wage and Benefit audit for many purposes. The state may be checking on taxpayer subsidized benefits that the worker is receiving such as Medicaid for a dependent child, or on the veracity of information the employee has previously provided for purposes of child support enforcement, wage garnishment for tax delinquencies, etc. The state will… Read more »
It is rare to find a household with it’s own Human Resources Department. The good news is that HWS services go far beyond payroll and include many aspects of household HR functions. We’ve been helping clients understand the big picture of being a household employer since 1993 and are happy to do the same for… Read more »
Congress legislated significant revisions to the “Nanny Tax” in October 1994. The remittance of the FEDERAL nanny payroll taxes was incorporated in the employing families’ annual Form 1040 filings. Most payments to household workers under 18 years of age are now exempted. The wage payment that triggers an obligation to make “Nanny Tax” filings was… Read more »
Yes. The 1995 Federal legislation, the “simplification” of the nanny tax rules, began a cascade of changes that continues today. Nanny tax rules alone are not the only regulations the household employer must follow. Numerous changes to federal and state labor laws specifically impact household employers. Federal Employer Identification Number required for all household employers…. Read more »