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Help! Do I really have to pay tax on my nanny?!

If you have someone working in your home for pay, you may have to pay household worker taxes, often called “nanny taxes” (we’ll use the terms interchangeably). You may have heard horror stories about how complex nanny taxes are (and they certainly are). Nanny taxes are complex because you are putting yourself in the position of the employer of a nanny.

In this video, we'll start off by determining whether you actually have to do nanny taxes in the first place. After that we’ll cover Federal and state requirements for becoming an employer, ending with a list of regular taxes you need to pay. Finally, we'll go through the few legal ways to get around household employee taxes in this video.

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