nanny taxes (2017)

[triad]

Could you add the nanny as an employee to a business and run it on the regular payroll?

[squirrel]

I use sure payroll.  Yes it costs me $30 a month but I look at it as money well spent for the time it saves me.  Plus records are better than I would probably keep and they file the quarterly taxes for me.  I know many on this forum are DIY and would cringe at the $360/yr but for me its a good trade off.

[resident_1]

Thanks for the replies. I looked into AZ and I do have to pay quarterly AZ unemployment tax which is 2% of gross pay (if employee earns more than $1000.00 per quarter).

 

[Dreamgiver]

I do it once a year with my taxes as Joanna described.

[jfoxcpacfp]

resident_1 wrote:

Read other posts on this on the forum but could not find the answer. I would like to do the taxes myself.

When do I pay pay medicare+social security taxes? Is this done monthly through the EFTPS?
Some nanny tax guides mention EFTPS and others don’t.

https://www.eftps.gov/eftps/

Anyone do nanny taxes on their own in Arizona? If so what state unemployment and state tax payment requirements do you follow for nanny taxes?

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Publication 926 is a good place to start. EFTPS is unnecessary because you pay the taxes to the IRS via your personal withholding, estimated payments, and calculate the amount over- or under-paid on the Schedule H filed with your annual Form 1040.

Information about AZ unemployment taxes here.

Note that you also are required to give your employee notice about the EIC (Earned Income Credit). If s/he qualifies and wants to receive advance payments of EIC, you are obligated to calculate and include with their paycheck.

[Anesthesia84]

I do our nanny taxes (not in AZ). I withhold her portion and then have a set amount deducted from my biweekly paycheck. The IRS doesn't care where the money comes from, as long as it adds up at the end. I have never used EFTPS.

For state unemployment taxes, I forget exactly how we set it up in our state, but they just mail the quarterly form and I send it back with the check for that quarter. You can PM me if you want me to email you our nanny taxes spreadsheet.

[resident_1]

Read other posts on this on the forum but could not find the answer. I would like to do the taxes myself.

When do I pay pay medicare+social security taxes? Is this done monthly through the EFTPS?
Some nanny tax guides mention EFTPS and others don't.

https://www.eftps.gov/eftps/

Anyone do nanny taxes on their own in Arizona? If so what state unemployment and state tax payment requirements do you follow for nanny taxes?