My girls are almost 10 and 5, right now they go to daycare for morning and afternoon care. I am thinking about getting a "nanny" for the summer. My main reason is my girls hate the daycare, and I want them to enjoy the summer going to the library, beach, park and stuff. I have found multiple candidates on Care.com and was wondering has anyone found a babysitter/nanny on that website before. I am ready to try it, but my husband is worried about losing our tax credit using a licensed daycare provider. Also having someone at my home will be way less stressful with housework, dinner and getting the girls from daycare which is about 5 miles out of the way. Please help, thank you.
If a nanny is not an option, what about park and rec programs? Day camp? My stepson spent a summer being a camp counselor for tweens and the spent most of the summer doing stuff - amusement parks, swimming, museums, etc. You can also ask a tax expert about how to handle child care expenses.
Here's some IRS info http://www.irs.gov/uac/Ten-Things-to-Know-About-the-Child...
Just so you know I am a nanny and something that my families found out this year during tax time was that since I go to THEIR home THEY are technically my employers and have to PAY IN some taxes for my social security and what not. They still also get a deduction for using me, but they also have to pay in so it might end up cancelling each other out. So you should check that out before you hire someone.
Also, I have nannied for 3 families and all of them found me on care.com
why would you loose the tax care credit? regardless of whether you take them to a center or pay someone in your home if it is a full time person you can still claim it on your taxes. You just tell the person up front your claiming it. And they will have to claim it on their end as being self employed. unless your going with a teenager in which case you loose that lol. however your only allowed to claim $2500 per year per child. you have probably already spent that in just this 3 months alone. So I would not worry about it. I know sitters who work thru care.com, I know sitters who work thru sitter city (I myself work thru sitter city and have been with my current "family" for almost 3 years. there are good sitters on both sites. but it will be up to you to interview and follow up on references.
You can claim ALL child care expenses up to that certain dollar amount. When I owned my own child care center I had very few parents even ask for a written letter with my federal tax ID or anything.
A friend of mine went on a mission right after the first of the year and she had been a nanny until she left. They frantically called her parents claiming they needed her SS# so they could file her pay on their taxes. Their daughter was in some South American country and could only be reached in case of an emergency except on her call home days.
They found out they could use their canceled checks and even claim the money they paid their casual babysitters for date nights. They claimed the maximum credit and got every penny.
Every state could be different but this is federal taxes, not state taxes. So call the IRS information hot line or go to the website.
I can see the 10 year old being bored in child care but I bet the younger one would like having the toys, the friends, the whole friends thing.
you only get to deduct a bit of the childcare expense.. it isnt that big of a taxsavings.
a nanny costs about the same as 2 kids in day care. yes.. a good nanny will make your life much easier.. in the morning you just get up and go to work. the kids sleep in.. get more sleep are more rested and pleasant. nanny can do some light housekeeping during the day.. my nanny would do laundry .. towels sheets.. make the beds.. run the dishwasher.. .. helped me a lot.
and the kdis are not so crandy overstimulated when theyget home.
Depending on what kind of nanny you get, it may cost far less and you may save more than the tax credit is worth.
I get a nanny in the summer. I go to the local college and post a flyer where the education students take classes. Once I have applicants, I ask them for professors for references and go from there. College students don't charge as much as professional nannies (they don't have to worry about things like health insurance yet), and there is not a mark-up in the service charge from the nanny service.
Sorry I don't know anything specifically about Care.com I don't use any kind of service like that because I don't want to pay additional fees if I don't have to.
Found our babysitter on care.com -- she is wonderful!! So at least I can vouch for one :)
Good luck!
I have used the site, and found some great nannies and people that didn't work out. My best advice is to phone screen, then have them over to meet the family. Then do a trial period, maybe even a weekend day when you can be there. As to taxes, if you use a payroll service and pay the nanny legally, you can use flex spend funds, which is better than a tax credit if either of you have an employer who matches funds. Good luck- I love having a nanny, it is much easier to manage what your kids are doin with their time.
The summer just lasts for a few months. Go back to childcare when school starts. That way you don't lose that much of the deduction.
Dawn
