Legal

Ask a lawyer and get answers to your legal questions

Ask a Lawyer,
Get an Answer ASAP!

My mother watches my children for free. I realize no money…

Customer Question
My mother watches my...

My mother watches my children for free. I realize no money changes hands but are there tax consequences I should be aware of? Good or bad. Are there benefits we are missing out on by not exchanging money for services?

Lawyer's Assistant: What state are you in? It matters because laws vary by location.

NY

Lawyer's Assistant: Has anything been filed or reported?

No. She has been watching my children for 7 years....For Free! Amazing woman!

Submitted: 4 months ago.Category: Legal
Show More
Show Less
Ask Your Own Legal Question
Answered in 5 minutes by:
12/18/2017
Lawyer: legalgems, Lawyer replied 4 months ago
legalgems
legalgems, Lawyer
Category: Legal
Satisfied Customers: 12,570
Experience: Just Answer consultant at Self employed
Verified

Hello! I will be reviewing your question and posting a response momentarily; if you have any follow up questions please respond here. Thanks!

Ask Your Own Legal Question
Lawyer: legalgems, Lawyer replied 4 months ago

You are very fortunate as I'm sure you know (but I'm sure your mother considers herself the lucky one!).

If there is "bartering" then the fair market value (arms length transaction) would be reported on the caregiver's income.

But if it is a personal relationship-ie no compensation and simply providing care for one's family, then there is nothing to tax as that is not a business relationship.

Further questions? Please post here to continue the chat.

Satisfied? Kindly rate positively so I receive credit for assisting you. I hope that you feel I have earned

5 stars 🌟🌟🌟🌟🌟*****

as I strive to provide my customers with great service. ☺️

(no additional charges are incurred).

Information provided is for educational purposes only. Consultation with a personal attorney is always recommended so your particular facts may be considered. The terms addressing this can be viewed here:

http://ww2.justanswer.com/terms-service-0#information

Thank you and take care.

Ask Your Own Legal Question
Customer reply replied 4 months ago
If I were to compensate her financially how would the transaction have to documented?
Lawyer: legalgems, Lawyer replied 4 months ago

Information for the caregiver:

Childcare providers. If you provide childcare, either in the child's home or in your home or other place of business, the pay you receive must be included in your income. If you aren’t an employee, you are probably self­employed and must include payments for your services on Schedule C (Form 1040), or Schedule C­EZ (Form 1040). You generally aren’t an employee unless you are subject to the will and control of the person who employs you as to what you are to do and how you are to do it. Babysitting. If you babysit for relatives or neighborhood children, whether on a regular basis or only periodically, the rules for childcare providers apply to you.

page 3:https://www.irs.gov/pub/irs-pdf/p525.pdf

Here is a tax guide:

https://www.irs.gov/publications/p926

Please see the tables on

https://www.irs.gov/publications/p926

because that discusses how a parent is exempt from having certain taxes withheld.

The transaction would normally be documented via a paycheck listing the gross and then the deductions.

Ask Your Own Legal Question
Lawyer: legalgems, Lawyer replied 4 months ago

Hello again; just checking in to see how things worked out;

If you have no further questions a positive rating is most appreciated (at no additional cost to you) and allows the site to credit my account for the time spent assisting you!

if you have further questions please don't hesitate to reach out to me here on Just Answerand I will do my best to get you the requested information.
Thanks!

The above information is for educational purposes only. A consultation with a private attorney is recommended so they can apply the law to your specific facts, and suggest the best course of action. An attorney can be located here:
http://www.americanbar.org/groups/public_education/public-information/how-do-i-find-a-lawyer-.html
Terms of service can be viewed here:
http://ww2.justanswer.com/terms-service-0#information

Ask Your Own Legal Question
Was this answer helpful?
Ask legalgems Your Own Question
legalgems
legalgems
legalgems, Lawyer
Category: Legal
Satisfied Customers: 12,570
12,570 Satisfied Customers
Experience: Just Answer consultant at Self employed

legalgems is online now

A new question is answered every 9 seconds

How JustAnswer works:

  • Ask an ExpertExperts are full of valuable knowledge and are ready to help with any question. Credentials confirmed by a Fortune 500 verification firm.
  • Get a Professional AnswerVia email, text message, or notification as you wait on our site. Ask follow up questions if you need to.
  • 100% Satisfaction GuaranteeRate the answer you receive.

JustAnswer in the News:

Ask-a-doc Web sites: If you've got a quick question, you can try to get an answer from sites that say they have various specialists on hand to give quick answers... Justanswer.com.
JustAnswer.com...has seen a spike since October in legal questions from readers about layoffs, unemployment and severance.
Web sites like justanswer.com/legal
...leave nothing to chance.
Traffic on JustAnswer rose 14 percent...and had nearly 400,000 page views in 30 days...inquiries related to stress, high blood pressure, drinking and heart pain jumped 33 percent.
Tory Johnson, GMA Workplace Contributor, discusses work-from-home jobs, such as JustAnswer in which verified Experts answer people’s questions.
I will tell you that...the things you have to go through to be an Expert are quite rigorous.

What Customers are Saying:

Mr. Kaplun clearly had an exceptional understanding of the issue and was able to explain it concisely. I would recommend JustAnswer to anyone. Great service that lives up to its promises!

Gary B.Edmond, OK

My Expert was fast and seemed to have the answer to my taser question at the tips of her fingers. Communication was excellent. I left feeling confident in her answer.

EricRedwood City, CA

I am very pleased with JustAnswer as a place to go for divorce or criminal law knowledge and insight.

MichaelWichita, KS

PaulMJD helped me with questions I had regarding an urgent legal matter. His answers were excellent.

Three H.Houston, TX

Anne was extremely helpful. Her information put me in the right direction for action that kept me legal, possible saving me a ton of money in the future. Thank you again, Anne!!

ElaineAtlanta, GA

It worked great. I had the facts and I presented them to my ex-landlord and she folded and returned my deposit. The 50 bucks I spent with you solved my problem.

TonyApopka, FL

Not only did he answer my Michigan divorce question but was also able to help me out with it, too. I have since won my legal case on this matter and thank you so much for it.

LeeMichigan

< Previous | Next >

Meet the Experts:

Tina

Tina

Lawyer

8,775 satisfied customers

JD, BBA Over 25 years legal and business experience.

Ely

Ely

Counselor at Law

24,353 satisfied customers

Private practice with focus on family, criminal, PI, consumer protection, and business consultation.

INFOLAWYER

INFOLAWYER

Attorney

20,727 satisfied customers

Licensed attorney helping individuals and businesses

JPEsq

JPEsq

Attorney

2,132 satisfied customers

Experience as general attorney, in house counsel, SSDI, Family Law attorney, and law professor

Law Educator, Esq.

Law Educator, Esq.

Attorney

42,358 satisfied customers

JA Mentor -Attorney Labor/employment, corporate, sports law, admiralty/maritime and civil rights law

Ellen

Ellen

Lawyer, Consultant

8,238 satisfied customers

25 years of experience helping people like you.

Guillermo J. Senmartin, Esq.

Guillermo J. Senmartin, Esq.

Attorney

292 satisfied customers

7+ years of experience handling various legal matters.

< Previous | Next >

Related Legal Questions
I have a question about salary for exempted employee. At
i have a question about salary for exempted employee … read more
Legal Eagle
Legal Eagle
Attorney
Doctoral Degree
10,287 satisfied customers
Do employees in SC have to be paid when scheduled as "on
Hello, do employees in SC have to be paid when scheduled as "on call"? … read more
Attorney Wendy
Attorney Wendy
Member
Juris Doctorate
536 satisfied customers
Can an employer terminate an employee for reasons other than
Second opinion] can an employer terminate an employee for reasons other than job performance?… read more
Attorney Wendy
Attorney Wendy
Member
Juris Doctorate
536 satisfied customers
If a salaried employee is required to attend company events
If a salaried employee is required to attend company events which are outside the employee's regular working hours and attendance is voluntary and not directly related to employee's job and does not p… read more
Damien Bosco
Damien Bosco
4,199 satisfied customers
Can an employer terminate an employee for reasons other than
can an employer terminate an employee for reasons other than job performance? … read more
Bill Attorney
Bill Attorney
law
2,042 satisfied customers
Trying to confirm that church employees in GA cannot get
Trying to confirm that church employees in GA cannot get unemployment compensation, one, and two, whether GA law requires some kind of written notice about that be given to the employee and under what… read more
Legal Eagle
Legal Eagle
Attorney
Doctoral Degree
10,287 satisfied customers
I have a senior employee that is socializing with other
I have a senior employee that is socializing with other staff after work hours, how can I stop that from happening. … read more
DanLegal
DanLegal
Law Partner
Juris Doctor
326 satisfied customers
Employee leaves medical billing firm. Joins client and then
Employee leaves medical billing firm. Joins client and then client fires medical billing firm and hires employee to do the job. Can you insert a non solicit term for this? I know non competes are ille… read more
Attorney Wendy
Attorney Wendy
Member
Juris Doctorate
536 satisfied customers
I work in a small office and there is a male employee that
I work in a small office and there is a male employee that has been seen on multiple occasions putting his hand down his pants, which has made female employees feel uncomfortable. From what I understa… read more
Olivia Kent
Olivia Kent
Managing Partner
Doctoral Degree
2,878 satisfied customers
Is an employer allowed to terminate an employee when they
is an employer allowed to terminate an employee when they are out on disability after a certain amount of time? … read more
Legal Eagle
Legal Eagle
Attorney
Doctoral Degree
10,287 satisfied customers
In Utah is a non compete legal if the employee was not
In Utah is a non compete legal if the employee was not provided an opportunity to request amendments to the document? … read more
Legal Eagle
Legal Eagle
Attorney
Doctoral Degree
10,287 satisfied customers
I have an employee that is good at his job. For the second
I have an employee that is good at his job. For the second time since he's been here. He has not shown up for work without a call and not able to reach him. Am I able to set up an escrow with him. Say… read more
lucy7368
lucy7368
Juris Doctor
763 satisfied customers
What type of penalty is it for an employee of a company with
What type of penalty is it for an employee of a company with regards ***** ***** fraud? Does it fall back in the company or employee? … read more
DanLegal
DanLegal
Law Partner
Juris Doctor
326 satisfied customers
In California, What is required of an employee to be
In California, What is required of an employee to be eligible to qualify for Temporary Total Disability benefits?… read more
Edward Young
Edward Young
Juris Doctor
344 satisfied customers
I am a federal employee with an employee relations issue,
I am a federal employee with an employee relations issue, and I don't know where to go for help. … read more
Legal Eagle
Legal Eagle
Attorney
Doctoral Degree
10,287 satisfied customers
If an employer uses a temp service for employee, and the
if an employer uses a temp service for employee, and the contract with the temp service requires the the employer must use the temp workers 90 days before the Employer can hire them, who is required u… read more
Damien Bosco
Damien Bosco
4,199 satisfied customers
Is there a way to inform an employer of an employee that has
Is there a way to inform an employer of an employee that has done terrible things during work but technically not at work (but on the clock) when you yourself are not an employee and remain unknown to… read more
Bill Attorney
Bill Attorney
law
2,042 satisfied customers
Does a employee sign a form once he is employeed stating he
does a employee sign a form once he is employeed stating he has a disability and if he does not and returns from a mental institution and is fired base on information that is provided on the release f… read more
Bill Attorney
Bill Attorney
law
2,042 satisfied customers

DISCLAIMER: Answers from Experts on JustAnswer are not substitutes for the advice of an attorney. JustAnswer is a public forum and questions and responses are not private or confidential or protected by the attorney-client privilege. The Expert above is not your attorney, and the response above is not legal advice. You should not read this response to propose specific action or address specific circumstances, but only to give you a sense of general principles of law that might affect the situation you describe. Application of these general principles to particular circumstances must be done by a lawyer who has spoken with you in confidence, learned all relevant information, and explored various options. Before acting on these general principles, you should hire a lawyer licensed to practice law in the jurisdiction to which your question pertains.

The responses above are from individual Experts, not JustAnswer. The site and services are provided “as is”. To view the verified credential of an Expert, click on the “Verified” symbol in the Expert’s profile. This site is not for emergency questions which should be directed immediately by telephone or in-person to qualified professionals. Please carefully read the Terms of Service (last updated February 8, 2012).

DISCLAIMER: Answers from Experts on JustAnswer are not substitutes for the advice of an attorney. JustAnswer is a public forum and questions and responses are not private or confidential or protected by the attorney-client privilege. The Expert above is not your attorney, and the response above is not legal advice. You should not read this response to propose specific action or address specific circumstances, but only to give you a sense of general principles of law that might affect the situation you describe. Application of these general principles to particular circumstances must be done by a lawyer who has spoken with you in confidence, learned all relevant information, and explored various options. Before acting on these general principles, you should hire a lawyer licensed to practice law in the jurisdiction to which your question pertains.

The responses above are from individual Experts, not JustAnswer. The site and services are provided “as is”. To view the verified credential of an Expert, click on the “Verified” symbol in the Expert’s profile. This site is not for emergency questions which should be directed immediately by telephone or in-person to qualified professionals. Please carefully read the Terms of Service (last updated February 8, 2012).

Show MoreShow Less

Ask Your Question

x