Do You Have a Written Work Agreement?

Why Nannies Need Written Work Agreements By Tom Breedlove, Breedlove & Associates, LLC A Virginia family began searching for a nanny to care for their new bundle of joy. After an emotionally-draining six-week quest to find the ideal nanny, they hastily agreed — verbally — on a work schedule and hourly rate. The nanny started […]

Non-Taxable Forms of Compensation

Health Insurance Tax Credit I work as a nanny and needed health insurance desperately. Lucky for me, Tom Breedlove of Breedlove & Associates answered my questions, and my employer’s questions, without a consultation fee! First, I went to the Heatlh Reform In Action web site to find the most affordable individual health insurance available in […]

Special Tax Advantages for Short-Term, Part-Time, Share-Care Nannies

Families who hire on a short-term (i.e. summer nannies), part-time, or shared basis have a unique tax advantage. Since employer taxes are tied to wages, these families typically have a much smaller tax obligation but still get to take full advantage of the tax breaks. Here’s an example: The Smiths hire a summer nanny and […]

Taxes for Nanny-Shares

Nanny Tax Dilemma: Nanny-Share Arrangements By Tom Breedlove A nanny-share is defined as two families sharing the expense of employing a nanny to care for their children as a group. The nanny and children may alternate between the two family homes, but care is provided to the children of both families as one job for […]

Can I Pay My Nanny On My Company Payroll?

Nanny Tax Dilemma: Paying a Household Employee on the Company Payroll By Tom Breedlove This week we are discussing common nanny tax dilemmas. Yesterday, Tom Breedlove of Breedlove & Associates explained the common misperception that families can classify a domestic worker as self employed (an independent contractor). He explained that the IRS has ruled definitively […]

The 1099 Trap: Nannies Are Not Self Employed

Tax Season Dilemmas for Nannies By Tom Breedlove There is a fairly common misperception that families can classify a domestic worker as an independent contractor if they want to. Thanks to misinformation floating around on the Internet — and sometimes even bad advice from a general tax professional — some families are misled into thinking […]

Free Nanny Webinar – Nanny Taxes: Facts, Fiction and Conversation How-Tos

Thursday, February 17th7:30 PM EST / 4:30 PM PST Presenters: Tom Breedlove and Lora Brawley In the first part of this webinar Tom Breedlove, a top nanny tax expert, will provide a comprehensive look at the what, when and why of nanny taxes. He’ll answer attendees’ questions in user-friendly language and provide helpful resources to […]

Nanny Share Family

Innocent Mistake Disqualifies Tax BreaksBy Breedlove & Associates Nanny Share arrangements become increasingly popular during tough economic times because they allow families to split the cost of the caregiver’s wages as well as most of the associated costs. In addition, both families are entitled to the same childcare tax breaks as single-family employers. Since the […]