CP
Nomad
Posts: 434
Registered: 7-19-2006
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Social Security for part time workers?
Please fill me in on if I can or need to arrange social security payments for a 'casual' employee. We have a gal help with housework just 4 hours one
day per week. I want to be legal and do right by her as far as ss goes.
Thanks.
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Taco de Baja
Super Nomad
Posts: 1913
Registered: 4-14-2004
Location: Behind the Orange Curtain, CA
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Mood: Dreamin' of Baja
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Depends on if she is classified as a "household employee" or a "contractor" and how much you pay them.
If a "household employee" is paid more than $1,500 you (and they) legally have to pay into the SS, Medicare, and unemployment system…Plus, probably
withhold Fed, State and Local taxes Fill out a W2, keep all records, yada, yada, yada, welcome to the world of being an employer.
If they are a "contractor" they are responsible for reporting their earnings and paying the full SS, Medicare, fed, state, local taxes themselves.
Needless to say many, if not most, people treat household help as "self-employed contractors". Like the handyman you hire to paint your house, redo
your kitchen, redo you bathroom.
Of course, if you are in BCS, this may not even apply.....
More info from SSA
[Edited on 4-3-2007 by Taco de Baja]
Truth generally lies in the coordination of antagonistic opinions
-Herbert Spencer
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vandenberg
Elite Nomad
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Registered: 6-21-2005
Location: Nopolo
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CP
I don't think Social Sec. is an issue here. Went through this last year with a girl that worked for us 5 hrs a week for 6 years, We had to pay her 1
month pay for every year she worked. This is from something like the Mexican labor board.
Had no knowledge of this when we hired her, but it will be enforced if they pursue it. The fact that we gave her and her family many valuable
items,besides paying her holidays and sick days, didn't make any difference. So, beware !!
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flyfishinPam
Super Nomad
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Registered: 8-20-2003
Location: Loreto, BCS
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Hi there, I tend to err of the safe side. Lets say your housekeeper fell in your house and broke her neck. If she's on social security you won't
have any problems later on. You'll pay 1/2 her disability days and less on the social security bill those months. If you didn't have it and she or
her family complained, you'd be screwed. What Vanderberg is describing is illegal "firing" of an employee which can take place even if they quit and
you don't have a signed renuncia.
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Dave
Elite Nomad
Posts: 6005
Registered: 11-5-2002
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| Quote: | Originally posted by flyfishinPam
Lets say your housekeeper fell in your house and broke her neck. |
Wouldn't have to be just in your house. It could be going to or coming from your house. Pay the SS.
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Pstreet1
Junior Nomad
Posts: 94
Registered: 7-25-2005
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We have friends who " inherited" a housekeeper (4 hours every other week) from the previous owners. She wasn't very good, and then she started
sending her 12 year old daughter and not coming herself at all. They fired her. She sued them for $10,000 (yes, dollars). They got off for around
$2,000 and considered themselves lucky.
Beware!
You are also liable if an employee gets sick--having nothing to do with you or your home. The labor laws are very protective of the workers, to a
degree Americans simply have no notion of.
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