By treating them like a professional, they’ll have higher job satisfaction.They’ll have a verifiable income and legal employment history, which is important when applying for a loan, mortgage, or even a credit card.Your employee will appreciate the benefits and protections of being paid legally-such as Social Security and Medicare.

You’ll have little worries about fines, penalties, lawsuits, or audits.

Most importantly, you will enjoy peach peace of mind.

You can take advantage of tax savings through your employer’s Flexible Spending Account (FSA) and/or the Child and Dependent Care Tax Credit and potentially save thousands of dollars in taxes.

Without required workers’ compensation insurance – or choosing voluntary coverage – your employee can sue you for lost wages and medical costs if they’re hurt on the job.

This will lead to a stronger work relationship, a more satisfied employee, and a happier family.

You’ll attract higher-quality candidates because you’re showing them upfront that you see them as a professional.Here are a few reasons why you’ll want to set up your nanny taxes the right way: For you: Failing to pay employment taxes can cost, on average, $25,000 in penalties and interest. It’s easy to get caught and you’ll wind up paying much more in fines, penalties, and back taxes. Skipping your nanny tax obligations and paying “under the table” shouldn’t be an option. The IRS estimates that it can take a household employer 60 hours a year just to comply with all the tax, wage, and labor laws surrounding domestic employment. Getting nanny taxes and pay right can be complicated. Now it’s time to make payday and tax time a breeze. Congratulations! You found the perfect nanny for your family through Sittercity.

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