Amount of payment I should ask for

Parent Cafe
21

<p>The amount of social security and taxes? That is based on your income. I have no idea what that would be.</p>

<p>But somemom does have a good idea. Maybe they could gift you the money…although to be honest, that isn’t…well…honest.</p>

<p>Anyone remember Zoe Baird? She was a Supreme Court nominee until it came to light that she was not paying taxes, etc for some employees she had in her home. It was a huge splash on the news, and actually rather sad, as otherwise she might have been a good appointment. Her nomination was withdrawn.</p>

<p>I know…most of us are not Supreme Court candidates…but OP…if you intend to collect SS one day, it might be nice to have those earnings on your record.</p>

<p>And as others have said…don’t undersell yourself. In addition to being a living family member, YOU are traveling to provide the care in their home…which, because of the convenience factor, is usually more costly in these parts.</p>

22

<p>I would figure out what an unrelated child care provider would charge, and charge that much. Write a contract that spells out the details. It’s their precious children, and your livelihood, so you both should work out the details beforehand so that everyone is in agreement.</p>

23

<p>How much are they paying the cousin for the day she works? It would seem that you should probably be paid at least that amount maybe more because you will have a longer commute. Although since your mom lives with them if they are helping pay for her expenses then maybe just the same as the cousin would be right? </p>

24

<p>Is the “going rate” of 10-15/hour per child? That sounds more like it! Two infants means constant care. How much would you make if you took the other job near home. You need to charge at least what you would make elsewhere, unless you don’t need the money.</p>

25

<p>FICA is not necessarily based on your wages. It’s is a flat rate up to a certain level of income. Your brother would have to pay his employer half of the taxes, so altogether a little over 12%. He’d have to submit quarterly to the government. I do not like doing payroll and prefer to hire a payroll company. </p>

<p>Alternatively he might be able to pay you as an independent contractor. You would then hVe to file in your own and you would not be accruing any social security benefits. </p>

<p>Here’s some info on FICA. </p>

<p><a href=“Topic No. 751, Social Security and Medicare Withholding Rates | Internal Revenue Service”>http://www.irs.gov/taxtopics/tc751.html&lt;/a&gt;&lt;/p&gt;