Re: TaxHire Family Members
"Tax Tip" <realtaxtips@xxxxxxxxx> wrote in message
news:3e8d6ff3-3c3e-4fb0-9c87-c2159ff60daf@xxxxxxxxxxxxxxxxxxxxxxxxxxxxxxx
You should hire someone (like a family member) to do your work and
write off the cost of labor, because you cannot deduct the cost of
your own labor.
Should I hire them as an employee or a contractor?
Do I need to provide health insurance for them as an employee?
What about workers comp?
If, as an example, I pay my wife $100 to install a lock:
I pay her $100, and write this off my taxes, saving $28 in taxes.
She earned $100, so pays $28 in income tax, but also $15 in Self employment
tax.
Where's the savings? It looks like I'm out $15.
I think I'll pass on the rest of your 'advice'.
.
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(sci.econ) |
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