Year-End Tax Planning for Household Employers

year-end tax planningThe end of 2014 is quickly approaching, so it’s important that everything is in order to ensure there are no surprises when it comes time to pay nanny taxes next year. Year-end tax planning isn’t something to put off or ignore. It’s important to look at your finances and think about any changes you will be making for the rest of 2014 and into early 2015. Some things to consider include:

  • Adding/decreasing your employee’s hours during the holiday season
  • Awarding a year-end bonus
  • Adjusting salary for 2015
  • Making note of any minimum wage increases in your state
  • Vacation pay for the holiday season

Also note that for 2015, the domestic employee coverage threshold amount will remain the same as this year – $1,900; this means that you are required to pay taxes if you pay a nanny at least $1,900 for the year. Make sure you keep accurate records of any changes you make, along with any changes to any federal or state tax and wage laws.

Please download this helpful Year-End Checklist for Household Employers from our friends at GTM Payroll Services, and contact us at (518) 348-0400 with any questions you might have.

20 Holiday Gift Ideas for Nannies

nannyholidayOffering holiday gifts and perks not only benefits your nanny, but it also benefits you as an employer! Using ideas like the ones listed below will help attract and recruit new employees, and create a happy employee, which in turn creates a happy family.

20 Ideas for Holiday Gifts and Perks

  1. Sick/personal/vacation time

  2. Cell phone use

  3. Tuition reimbursement

  4. Education/seminar/conference expenses

  5. Annual bonuses

  6. Salon/spa gift card

  7. Health Reimbursement Account

  8. Frequent flyer miles

  9. Entertainment tickets to ball games/movies/shows

  10. Time share/use of a vacation home

  11. Gas card

  12. Grocery store gift card

  13. Purchase of a computer/PDA/I-Pad/cell phone

  14. Gym/Fitness club membership

  15. Restaurant gift card

  16. International Nanny Association (INA) membership

  17. Retirement funding

  18. Education of a dependent

  19. Shopping gift cards (Target, Macy’s, etc.)

  20. Clothing allowance