Wednesday, June 11, 2008

Will I regret this next April?

I am hiring a nanny, M. She's great! She has energy and the kids are already excited to see her.

I really want to do this legally for a few reasons. It's easier for M, if something happens to my job, she is then able to get unemployment. It's nicer for me, too. I can deduct childcare on my taxes and have a clear conscience.

The governemnent makes this very easy to do. You get an EIN, then the nanny fills out an I-9 and a W-4. It's all spelled out in a nice pdf booklet, publication 926.

Finding information from the state of Washington is less clear. The more you dig, the more confusing it gets. I took the advice of a friend and called a book keeping service and I cannot afford to pay them. So, I will have to weed through the government pages.

First off, according to the state, I need to get a state business license, which surprised me. I fill out the state license form for a Master Business license. The info from this site, hiring an employee, is all I can find. I have yet to find the info on what I need to do to pay unemployment insurance.

What have I gotten myself into? And the book keeper didn't seem thrilled with just setting me up.

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