A Taxing Situation in Canada: Part II
Hello Readers, Northern Nanny here again. I recently posted regarding "A Taxing Situation in Canada". Due to all of your fantastic comments and advice, I have looked deeper into my situation and have made the decision to approach my employers regarding the situation. In doing so I have acknowledged that: a.) my employer might not agree to pay me $15.00 NET per hour, or b.) might wish to discontinue my services as a result. However, I feel that I am grossly underpaid and need for my payment to be adjusted accordingly.
You have helped me thus far, readers, do you feel that it is unreasonable to ask for $52K per year (which is $40K net per year) as a live-out nanny at 51hrs per working week (Monday-Friday)? I know from reading the annual salary reviews that a lot of us get that much, I suppose when I put it on paper I feel I am asking for a lot? No? To put it in perspective: in 2009 I was making $675.00 per week NET @ 51hrs or $13.23/hr paid less than $1000.00 in taxes due to our "arrangement". In 2010 I was making $708.75 per week NET @ 51hrs or $13.89/hr. I did claim about $20,000 and paid out around $2,000. In 2011, I was making $708.75 per week NET @ 47hrs or $15.79/hr. My boss mentioned that I should be paying full-amount taxes but I had already put in my claim and thus couldn't change the amount. I paid out $3,164.00 and claimed $22,000 income.
Now going forward to 2012, my boss has stated that I need to be paying REAL FULL TAXES for APRIL 2013 and thus with my annual 5% raise as well as additional (4) hours of work for the contract-year I would be making $807.33 per week GROSS, or $15.83 per hour GROSS. This new rate works out to $12.46 per hour NET OR $635.46 NET per week OR $1270.92 NET bi-weekly OR $2541.84 NET per month My issues are: - I want to make $15.00 per hour NET - I want my employer to consider me a domestic worker employee rather than a self-employed individual [In my province a NANNY is NOT self-employed] - I want my employer to remit my taxes, rather than have me remit them at the end of the year and pay a lump sum. - I want my employer to provide me with an annual T4 and pay stubs upon request.
If my employer can meet these conditions outlined I would be making: $15.00 per hour NET OR $758.00 NET per week OR $1516.00 NET bi-weekly OR $3032.00 NET per Month. Is this too much to ask? I have created a very detailed contract renewal to reflect what my needs are and also to reflect other issues I have in my current position: (parent not providing petty cash on time, parent not supplying the household with required provisions etc, parent not providing gas stipend as per our prior contract in a timely manner and not on a regular basis) Readers: Can you please advise if I have left anything out of my contract that you feel should be included and also, do you think that what I am asking is out of line or may get declined? I need HELP!
at 5:00 PM