Received Tuesday, August 3, 2010
I have a question I'd like other nannies' opinions on. I'm looking for another job and really want to get paid on the books. Most families and nannies around here prefer cash. I'm wondering how it would work if I worked for cash and reported it anyway, like other nannies have said they do. For nannies who have done this, what I want to know is: 1) How did you declare it on your 1040? Just wrote in the amount on the "wages and salary" line without any supporting W2 or anything else? 2) What, if anything, did you do about paying into Medicare, Social Security, state disability and other things that normally come out of any employee's check? Did you figure out a way to do that or did you just pay federal and maybe state income tax and leave it at that? Also, please don't mention that I ask for a 1099. According to the IRS, FT nannies are employees, not independent contractors. Plus, there's no way I'm going to pay the extra self employment tax when my employer should be doing things right all along. Please help!
Thanks for the ISYN help,