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Missouri Mule

babysitting tax question

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So we have been looking for options on day cares for our 2 kids as my wife is looking to go back to work soon. The one place we looked, in her brochure she had that she didn't claim income for this and she didn't mess with tax papers. So because she isn't claiming any income I cant write off the child care on MY taxes!! Is this even legal?? We were recommended to this lady by the church but I wont be using her for that reason. I am pretty sure MO and federal taxes would like a cut of her income. And while were on the subject she wants 9 paid holidays. 2 days for thanksgiving, 2 for x-mas, and 2 for new years, plus all the regular ones. I politely asked her what we were supposed to do those holidays when we all just get 1 day off for that holiday like the rest of the world. I know some trade veterans day to day before thanksgiving. F THAT! is what I told my wife. IF I spend $400/month on child care and can legally write it off on my taxes then I WILL!! End of rant. I know I know I came to a tractor forum to ask a babysitting question LOL

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Legal? I would have to say no. Pretty gutsy putting it right in a brochure. Would think she could get in some serious legal trouble with irs.

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She is likely not properly licensed. We have used several day care individuals over the last almost 6 years and were only able to write off 2 of them. But to have our kid in an environment that we can trust to be safe and healthy was more important. Everywhere we have gone is pay per hour your kid is there, not flat rate. But in some places you pay even if your kid stays home sick, even if the provider is sick, even while your provider takes a week long vacation! Our current provider has kids old enough that she's taking off early for sports way more than we prefer, but having her just a mile from home is more than worth it.

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My wife is a licensed in-home daycare provider. She takes major holidays off (none paid!), and charges an hourly rate. The only times she charges more than her hourly rate are 1.) if a child is scheduled and just doesn’t show up, parents pay for the full day—if they are considerate enough to give 12 hours notice, no charge— and 2.) if a parent is late picking up their child at the end of the day, it’s a $1/minute charge—again, no extra charge if the parent gives a call or text to say “Hey, I’m running late, will that be OK?”  

Communication goes a long way, if you get a good daycare, treat them like gold!  I’m biased because I see the other side of daycare. Moms who don’t have jobs but just want some “ME” time are the worst—no consideration for time is a close second. My wife never leaves early unless she has a helper who can finish out the day, but with six kids in school we have stuff going on in the evening. Had one lady show up a half hour late last night, no excuse, no call, then walked in and wanted to B.S.  My wife had to practically shove her out the door as she was already late for a meeting!

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6 hours ago, Missouri Mule said:

So we have been looking for options on day cares for our 2 kids as my wife is looking to go back to work soon. The one place we looked, in her brochure she had that she didn't claim income for this and she didn't mess with tax papers. So because she isn't claiming any income I cant write off the child care on MY taxes!! Is this even legal?? We were recommended to this lady by the church but I wont be using her for that reason. I am pretty sure MO and federal taxes would like a cut of her income. And while were on the subject she wants 9 paid holidays. 2 days for thanksgiving, 2 for x-mas, and 2 for new years, plus all the regular ones. I politely asked her what we were supposed to do those holidays when we all just get 1 day off for that holiday like the rest of the world. I know some trade veterans day to day before thanksgiving. F THAT! is what I told my wife. IF I spend $400/month on child care and can legally write it off on my taxes then I WILL!! End of rant. I know I know I came to a tractor forum to ask a babysitting question LOL

We were spending more than 400 a month for one 3 year old here. He goes with me now maybe I should ask wife for some child care allowance. Whatever you do make sure you find a good daycare. 

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5 minutes ago, ihrondiesel said:

My wife is a licensed in-home daycare provider. She takes major holidays off (none paid!), and charges an hourly rate. The only times she charges more than her hourly rate are 1.) if a child is scheduled and just doesn’t show up, parents pay for the full day—if they are considerate enough to give 12 hours notice, no charge— and 2.) if a parent is late picking up their child at the end of the day, it’s a $1/minute charge—again, no extra charge if the parent gives a call or text to say “Hey, I’m running late, will that be OK?”  

Communication goes a long way, if you get a good daycare, treat them like gold!  I’m biased because I see the other side of daycare. Moms who don’t have jobs but just want some “ME” time are the worst—no consideration for time is a close second. My wife never leaves early unless she has a helper who can finish out the day, but with six kids in school we have stuff going on in the evening. Had one lady show up a half hour late last night, no excuse, no call, then walked in and wanted to B.S.  My wife had to practically shove her out the door as she was already late for a meeting!

My sister in law tells of the same things. The thing that ticks her off the most are the ones she has had where the childcare is on the government's dime. Parent/parents have a day off work. She won't charge them for the day for a no show. Nope parent ON WELFARE what's that "me time" and even though they could use the money saved insist on dropping the kid off anyway.

 

Rick

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As far as the holiday thing i can see her side of it on that. I DO get 2 days off for thanksgiving and more than that for xmas, so to say the rest of the world only gets one day  is not true in every case. And im sure she wants to spend time with her family too. We have all had to do emergency day care for similar reasons especially if daycare worker ill last min. Grandparents or take the day off work yourself. Was our options at times.

 As others have said there is a lot she is dealing with on her side. BUT  i agree the no tax thing is sketchy. All depends on if there is another safe enviorenment for your children available to you.

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Better be careful what you wish for.  Our daycare center, when our daughter was small enough to need it, was great and she loved it.  In comes the State.  Next thing they mandated was a ratio of student to worker.  Then they stuck their nose in the meal plan.  Then the ratio of student to worker got smaller.  Pretty soon they came in and had a worker for every four kids going there and then the price went way up to cover the extra cost.  Then they mandated that she start taking kids from low income areas that the government was paying their daycare.  The paying parents started leaving and pretty soon the place was crawling with dirty children that came from homes that taught them no manners and had been exposed to all sorts of things my child had never been exposed to.  I walked in one day to see one of the boys walking around showing off his man part.  The language among the children went from English to God only knows what.  That woman might be trying to do you and your kid a favor and all you can think of is the tax implications.  Not being critical, but I think your focus is on the wrong thing.  I would go there and check it out.    Remember that the Government wants to train our children in the way they would have them be when they are grown , and they use welfare and the tax code to do that.

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7 hours ago, Missouri Mule said:

So we have been looking for options on day cares for our 2 kids as my wife is looking to go back to work soon. The one place we looked, in her brochure she had that she didn't claim income for this and she didn't mess with tax papers. So because she isn't claiming any income I cant write off the child care on MY taxes!! Is this even legal?? We were recommended to this lady by the church but I wont be using her for that reason. I am pretty sure MO and federal taxes would like a cut of her income. And while were on the subject she wants 9 paid holidays. 2 days for thanksgiving, 2 for x-mas, and 2 for new years, plus all the regular ones. I politely asked her what we were supposed to do those holidays when we all just get 1 day off for that holiday like the rest of the world. I know some trade veterans day to day before thanksgiving. F THAT! is what I told my wife. IF I spend $400/month on child care and can legally write it off on my taxes then I WILL!! End of rant. I know I know I came to a tractor forum to ask a babysitting question LOL

Is she operating out of the church or as a church based daycare, not for profit operation? I would ask her to the reason why she doesn't have to mess with taxes. How old are your kids? Can the wife stay home till kids go to school?

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My boys are 15 months apart, we had a lot of daycare issues before they started school. For a while I think our day care cost more than our mortgage. In the end we got into a large day care that had a kindergarten program.  Nothing was cheap or easy.  We had several different care providers over the years, including my wife's aunt who was the best, but she had to move. 

 

hops you find what is best for your kids and it goes well

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Our little girl is 17 months and has been at our sitter now since she was 6 weeks old. The sitter wasn't doing taxes which was fine with me. Then she became licensed and raised the rate and now has paid holidays and claims the income. While she is still very reasonable and we like what she does the becoming legal part cost us more up front. 

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9 hours ago, Missouri Mule said:

So we have been looking for options on day cares for our 2 kids as my wife is looking to go back to work soon. The one place we looked, in her brochure she had that she didn't claim income for this and she didn't mess with tax papers. So because she isn't claiming any income I cant write off the child care on MY taxes!! Is this even legal?? We were recommended to this lady by the church but I wont be using her for that reason. I am pretty sure MO and federal taxes would like a cut of her income. And while were on the subject she wants 9 paid holidays. 2 days for thanksgiving, 2 for x-mas, and 2 for new years, plus all the regular ones. I politely asked her what we were supposed to do those holidays when we all just get 1 day off for that holiday like the rest of the world. I know some trade veterans day to day before thanksgiving. F THAT! is what I told my wife. IF I spend $400/month on child care and can legally write it off on my taxes then I WILL!! End of rant. I know I know I came to a tractor forum to ask a babysitting question LOL

We pay $625 per month per kid (now 3 kids) and we consider that cheap compared to what some other are paying.  In metro areas, its $1000+ per kid per month.

I was of the same mindset you have at first, but the more I'm exposed to it, the more I see the value of it.

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2 hours ago, Mudfly said:

We pay $625 per month per kid (now 3 kids) and we consider that cheap compared to what some other are paying.  In metro areas, its $1000+ per kid per month.

I was of the same mindset you have at first, but the more I'm exposed to it, the more I see the value of it.

yep, this is true.  and Alaska is worse (but there is some reasonable alternatives on base) my two boys cost nearly $1800 a month for two years. 

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13 hours ago, iowaboy1965 said:

As far as the holiday thing i can see her side of it on that.

That's fine if she wants the extra days off work but why should she charge me for it meanwhile I have to pay another person to watch my kids. I completely understand the normal holidays as that it expected and I am ok with that. I think she should charge for the holiday, not the extra day as well is my point.

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15 hours ago, ihrondiesel said:

My wife is a licensed in-home daycare provider. She takes major holidays off (none paid!), and charges an hourly rate. The only times she charges more than her hourly rate are 1.) if a child is scheduled and just doesn’t show up, parents pay for the full day—if they are considerate enough to give 12 hours notice, no charge— and 2.) if a parent is late picking up their child at the end of the day, it’s a $1/minute charge—again, no extra charge if the parent gives a call or text to say “Hey, I’m running late, will that be OK?”  

Communication goes a long way, if you get a good daycare, treat them like gold!  I’m biased because I see the other side of daycare. Moms who don’t have jobs but just want some “ME” time are the worst—no consideration for time is a close second. My wife never leaves early unless she has a helper who can finish out the day, but with six kids in school we have stuff going on in the evening. Had one lady show up a half hour late last night, no excuse, no call, then walked in and wanted to B.S.  My wife had to practically shove her out the door as she was already late for a meeting!

It sounds like your wife has a good thing going on here. I would be very happy to have this.

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13 hours ago, BOBSIH856 said:

Is she operating out of the church or as a church based daycare, not for profit operation? I would ask her to the reason why she doesn't have to mess with taxes. How old are your kids? Can the wife stay home till kids go to school?

NO, she is a middle aged woman working from her home. She should be claiming income and is not, which is why I cant write it off.

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14 hours ago, rsscott said:

think of is the tax implications.  Not being critical, but I think your focus is on the wrong thing.  I would go there and check it out.  

Wrong. I have been there and checked it out with my wife and son. He is all that matters to me. I want him in a good place. I could care less whether she is licensed properly if she does a good job. And after my wife and I check out the rest of the places and that's the one we like the best we will use her regardless. My point is child care is very expensive and can be a tax break. Since I pay for this give me one reason I shouldn't be able to write it off because she doesn't want to claim income. I am pretty sure she can watch up to 6 kids in home without getting licensed. She doesn't want to pay taxes is the bottom line.

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Use their services, demand a receipt, keep payment records...... play dumb and turn it in to the IRS, let them decide who is cheating and let them fix the problem.

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6 hours ago, Missouri Mule said:

That's fine if she wants the extra days off work but why should she charge me for it meanwhile I have to pay another person to watch my kids. I completely understand the normal holidays as that it expected and I am ok with that. I think she should charge for the holiday, not the extra day as well is my point.

Ah misunderstood what you were saying. I see your point too. As others have said if there is no other safe place for your son it may still be worth it tho. Child care is a struggle. Good luck.

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I / we don't have kids and now that I see how costly day care is I'm glad we don't, $1,800.00 a month is mid blowing! 

Who do these providers think they are demanding paid holidays. 

Finally, if a child care provider is not licensed and with insurance  being so complicated today what if something should happen while your child is in their care, doesn't seem like a good option to me.

 

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32 minutes ago, charlie r said:

I / we don't have kids and now that I see how costly day care is I'm glad we don't, $1,800.00 a month is mid blowing! 

Who do these providers think they are demanding paid holidays. 

Finally, if a child care provider is not licensed and with insurance  being so complicated today what if something should happen while your child is in their care, doesn't seem like a good option to me.

 

And there you have it... The problem for me and I think for most is that to get a legit day care, they have to have enough employees and students to make it pay. That means your child is just a number at that point. The more kids the more sickness and the more your kids are sick and cant go. Then it just goes on like rsscott said above. It is a tough decision to make. Right now I have them part time at a in house daycare and the lady watches 3-4 kids and is SUPER flexible and does a great job. No paid holidays and if they aren't there no pay. She has a backup for when she is sick/gone 2 houses down. It is wonderful. BUT the job my wife is looking at wont work with her because its 15miles the wrong direction. She doesn't claim taxes either, and although I think it is unfair to me I do it anyway because she is very good with my kids. 

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Dang I was paying $75 a week 24 years ago.  Eason

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I’m paying $645 a week now because the ex stayed home for 19 years and didn’t work to watch kids. Dam alimony 

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We had a good daycare at the end, but it was expensive, it was simpley math, they had to hire so many staff to cover the slots they had.  They did have days off for holidays but if we chose the long term plan (a lower rate if you sign a contract that has weekly payments) you still paid the flat rate on those holiday weeks,  this is what we did, and it was better in the long run.

 

When we talk of the costs we paid please remember I live in Alaska where things are expensive, heating the building was 10,000 to 20,0000 a year, we went to a daycare with certified teachers for a portion of the day, the daycare had a state certified kindergarten class, property tax is high, and getting someone that will pass a drug test is a near impossibility.  

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Hm,  someone who lies for money in a position with much influence on children ?

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