When does a babysitter become a nanny?

[maylips]

Is the major difference between the terms babysitter/nanny the fact that taxes are being paid? Or is it the number of hours worked? Or is it just "cooler" to say you have a nanny instead of a babysitter?

Silly question to start the thread, but I do have a "real" question to throw out -- at what amount of hours that your babysitter/nanny works do you feel obligated to pay taxes on them, and not pay "under the table?" (jeez, a lot of air quotes are inserted in this post -- sorry)

And I realize it's different depending on where you live, but what do you/would you pay for someone watching your child while you're in the house? In my situation, she's more than a "mother's helper" because I am actually working a real job from home, but also flexible enough with my job that I'm not sitting in my office closed off from my DD all day, either. For the most part I come out to help put her to bed, change a really smelly diaper, help with meals, or just love on her when I need a break. So she's not totally alone watching her. Am I trying to justify paying less by thinking she's not working as hard or figure a job is a job, regardless of how much the "boss" jumps in to help?

I am asking this because I am now searching for a new sitter/nanny and I'm getting anywhere from "whatever you want to pay" to $15/hour. Minimum wage is $6.15/hour.

[daniele_ut]

"Silly question to start the thread, but I do have a "real" question to throw out -- at what amount of hours that your babysitter/nanny works do you feel obligated to pay taxes on them, and not pay "under the table?" (jeez, a lot of air quotes are inserted in this post -- sorry"

Federal tax law says that you need to pay taxes if you paid someone more than $1600 (in 2008) to babysit in your home. We are likely hiring a nanny and will definitely be paying taxes.

I can't really answer the "what would you pay" part of the question as we are still exploring that option. The going rate here is about $10 an hour for an experienced nanny, though.

[maylips]

Ahhh, I thought there was probably a federal rule somewhere out there...

Another reason why I love this board! I learn so much. Thanks...

And by the way, congrats on your upcoming addition. Gosh, that date is just right around the corner! All the best for a safe delivery.

[daniele_ut]

And by the way, congrats on your upcoming addition. Gosh, that date is just right around the corner! All the best for a safe delivery.

Thanks! She actually arrived on Monday, safe and sound. She's currently snuggling with dad watching the basketball game. I just got home yesterday and hadn't updated my siggie yet!

[niccig]

We have a college age girl that babysits for us. It's for 4 hours one day a week. I consider her a babysitter as it's not her main job and it's such short hours. If it was more times a week and more hours in a day, than that would be a nanny. As for paying taxes, we slip in under that limit the PP posted, as we don't have her come every week - lots of off weeks because of her commitments or mine.

[elektra]

Hi-
I am in a similar work and babysitter/nanny situation as you. I also work a full time job from home and have a woman (babysitter/nanny/whatever) watch my daughter while I am working. I was wondering as well what most people do in regards to taxes. From what people have posted here, it sounds like people pretty much pay the taxes. However, I'm sure no one wants to put in writing (albeit online) that they pay someone under the table and don't pay the taxes, KWIM? So there are probably still alot of people that do that I imagine.
After seeing it spelled out though, and even though I was considering just avoiding the topic with out tax man, I am going to just pay the taxes.
I definitely pay our nanny more than $1600 per year. And I actually signed a letter for her health insurance company that listed how much I pay her per week. (Her insurance company required that). So for me, I think I will just feel alot better in the long run if I follow the laws and just pay the taxes, especially in light of the small paper trail I now have with the insurance thing. I say long run because I always owe every year and it sucks I will have more $ to pay.
Maybe I'm an idiot, but I just feel better when I think about my decision now.

[maylips]

Daniele - wow, congrats! The fact that you're online when you just got home must show that you're feeling well. I'm so glad you have a healthy new baby girl!

Elektra - so, I know you're in CA, so you probably pay way more than what I would need to pay in NC, but what's your rate? Is she a young girl or a professional that you looked for as you would if you were not home all day? I would love to hear your thoughts since it does seem like we're in the same boat (even have daughters the same age!) Thanks!

[miki]

I'm in NC. I just started having sitters come for a few hours at the end of the day. I have 2 who split the 5 days between them. They take charge of my 4 yr old while I take care of the baby. I still fix DD's dinner and I may pop in to see what they are up to but the rest of the time I have my hands full with DS. But before they started, they also said that they would not mind watching the baby briefly if i needed to go walk the dogs in the rain or something. I pay them, both young women, $10/hr. One is an elementary school teacher and the other works as a nanny FT for another family. $10/hr is a common rate in my area for an adult sitter for one child. But for very experienced professional nannies, $15/hr for one child is not unheard of. HTH