Do I need to hire a U.S. citizen to be our nanny or dad’s caregiver?
SUMMARY: You may legally hire a U.S. citizen, an alien lawfully admitted for permanent residence, or an alien with a valid work permit. You are required to verify your candidate's employment eligibility using » Form I-9. Aliens with a valid work permit are eligible for and should have a valid Social Security Number. It is... Read more »
My nanny or caregiver is not a legal resident. What should I do about employment taxes for undocumented nanny?
The Internal Revenue Code maintains that the immigration status of your nanny or other employee has no bearing on your obligation for nanny employment taxes. Immigration enforcement is focused on penalizing the EMPLOYERS - particularly prosecution for employment tax fraud. Employing an undocumented worker is a violation of immigration law. The employer's risk here is... Read more »
Can I hire a nanny who has a F-1 (J-1) Student Visa. Are there special rules?
SUMMARY: Since 1994, off campus work (including work in a private home as a nanny, SENIOR CAREGIVER, housekeeper, maid or other domestic work) is generally prohibited for J-1 or F-1 student visa holders. HomeWork Solutions’ clients may choose to hire a foreign nanny and have their employment eligibility verified using the DHS e-Verify program, also... Read more »
Our former nanny applied for unemployment benefits? Will she get them?
The working arrangement between a nanny and the family is considered employment at-will under US common law unless the written work agreement specifies a term of contract (which is a horrible idea). In broad terms, at-will employment means that employment is presumed to be voluntary and indefinite for both employees and employers. A nanny under... Read more »
What is a wage garnishment order?
Most of our nanny and senior care employers are unfamiliar with wage garnishment orders and the implications and responsibilities they have in relation to the order. A wage garnishment order is a court order which requires that some portion of an employee’s earnings be withheld by the employer for the payment of a debt. Most… Read more »
What do I do with the Wage and Benefit Audit form I received?
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 »
Human Resource Services for the Household Employer
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 simplified the “nanny taxes.” What does that mean to me?
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 »
Do the Nanny Tax rules ever change?
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 »