Reply To: How Will The New Minimum Wage Laws Affect “Cleaning Help”

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akuperma
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If the helper is your spouse or child or younger sibling, it will have no impact. One doesn’t customarily pay family members for helping. Paying a family member to induce them to help around the house does not require paying taxes or paying the minimum wage and if you start charging the kid for room and board, that also is not a taxable event).

If you hire a non-family member, you have to pay the minimum wage including various employment taxes based on the wages you pay. Failure to do so can get you in big trouble (serious fines, paying back taxes with interest, and even jail).