Hiring Your Own Child To Work In DC

[Unregistered]

My daughter is 13. Too young for a job oustide the home so I was hoping to hire her to work for me in my home day care. How do others do things when they hire their own child at this age? How much do you or can I pay them?

A few other questions:

1. What recordkeeping do I need to have on file?
2. What and where would the amount I pay them be recorded as on my tax forms?
3. Do I need to actually give them the cash or can I use their worktime to purchase them something? If that, what records do I need for that?

Thanks for your help!

[Blackcat31]

Here is Tom Copeland's blog entry about hiring your own children as employees. http://www.tomcopelandblog.com/hirin...y-members.html

[TomCopeland]

My daughter is 13. Too young for a job oustide the home so I was hoping to hire her to work for me in my home day care. How do others do things when they hire their own child at this age? How much do you or can I pay them?

A few other questions:

1. What recordkeeping do I need to have on file?
2. What and where would the amount I pay them be recorded as on my tax forms?
3. Do I need to actually give them the cash or can I use their worktime to purchase them something? If that, what records do I need for that?

Thanks for your help!

You can pay your child under age 18 up to $5,700 before she would have to report it as income. Keep a job description, a record of when she did the work and how much you paid her. You will deduct this on Schedule C, other expenses (call it substitute help). You don't have to give her case, but then keep a record/receipt of what you bought her.