Due to my kids' school schedule, we have hired a part time nanny. She'll work for us for 16 hours per week. We've been looking at our state and the federal guidelines for all things related to taxes, and our heads are spinning. It got us wondering if maybe one of those payroll services would be a better option. After looking into them, they aren't cheap ( around $40 per month), and it made me wonder if they were worth it. Anyone with experience? Do you pay your nanny with a payroll service, or do you calculate and track it all yourself?