EisnerAmper understands the demands of running a highly functional household, including the various employees involved. EisnerAmper’s Personal Wealth Advisors Group offers its unique NannyTaxSM household employment tax service to help you comply with tax filing requirements for your domestic employees. These employees can include—but are not limited to—nannies, caregivers, tutors, personal drivers, and buildings and grounds employees.
NannyTax is the ideal solution for those family offices or high-net-worth individuals employing various household employees. For those who pay household employees individually more than $2,100 per annum (or more than $500 in any quarter), there is usually a need to file several federal tax forms as well as quarterly tax forms with your state. Care must be used to determine whether the individual is an independent contractor or an employee. This is important as federal, state, and locally imposed tax penalties for misreporting an individual’s status can be significant.
NannyTax provides complete tax compliance services, from assistance in obtaining federal identification numbers and Social Security numbers, to preparing quarterly and annual tax filings. To take advantage of our NannyTax services, employers simply need to provide an employee payroll record each quarter. NannyTax relieves taxpayers of the numerous federal, state, and local tax compliance activities and the more than 20 potential government filings that could occur each year—saving you valuable time, money and worry.
- Compute tax withholdings
- File quarterly state withholdings and state unemployment insurance
- Track federal tax obligations quarterly
- Maintain insurance compliance and prepare applications for disability and workers’ compensation
- Assist in obtaining federal and state identification numbers
- Prepare annual Schedule H and W-2 forms.
The service can also be a cost-effective option for closely held businesses and their employees. Owners can outsource to EisnerAmper all of their payroll tax compliance; tax and Social Security withholdings and remittances; employer-provided benefits reporting; tax filing requirements; responses to governmental authorities; and federal, state and local audit representation.
EisnerAmper NannyTax professionals have deep experience and are highly trained in this taxation specialty. They often write, teach and are called upon by the media to discuss this unique business topic.