Payroll Tax

More parents may owe “nanny tax” this year, due to COVID-19

Employees, Employment Tax, Federal Income Tax, FICA, Form W-4, Independent Contractors, Nanny Tax / Douglas Freeman

In the COVID-19 era, many parents are hiring nannies and babysitters because their daycare centers and summer camps have closed. This may result in federal “nanny tax” obligations. Keep in mind that the nanny tax may apply to all household workers, including housekeepers, babysitters, gardeners, or others who aren’t independent contractors. If you employ someone […]

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How to avoid getting hit with payroll tax penalties

Employment Tax, Federal Income Tax, Federal Taxes, Individual Income Tax, Payroll Service, Payroll Tax, Small Business, State Tax, Tax Cuts and Job Acts (TCJA) / Douglas Freeman

For small businesses, managing payroll can be one of the most arduous tasks. Adding to the burden earlier this year was adjusting income tax withholding based on the new tables issued by the IRS. (Those tables account for changes under the Tax Cuts and Jobs Act.) But it’s crucial not only to withhold the appropriate

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