The Social Security Administration released next year’s Employment Coverage Threshold for household employees, commonly called the “nanny tax threshold.” If a household employee earns more than this threshold, the family and the employee must pay Social Security and Medicare taxes.
Whether you put off nanny taxes until now or are just realizing you have a household employment tax obligation, now is time to catch up on your nanny taxes. While it is much easier to track nanny tax withholdings with each pay period, you can “catch up” at the end of the year. It will take a little more time and effort on your part. Here’s how to catch up on your nanny taxes as you prepare your 2023 taxes.
The Social Security Administration released its 2024 Employment Coverage Threshold for household employees. Next year’s coverage threshold increases by $100 to $2,700.
Still have your 2022 nanny taxes to knock off your to-do list? If you are a new household employer and taking on nanny taxes for the first time, this quick step-by-step guide will take you through the process. Even if you’ve put off anything to do with nanny taxes until now, do not worry.
What can household employers expect in 2023? From rising minimum wage rates to increasing domestic worker protections, here are eight household employment trends to watch if you employ someone to work in your home.
Get your free: Complete Guide to Household Payroll
Download our free guide and find out everything you need to know about paying your employee legally and filing your taxes.
.
800-929-9213