I am a babysitter. I do it for really cheap because the girl with the baby is a friend of mine, and there’s no way she could afford to pay for regular childcare. I don’t know what the going rate for daycare is, but I know the median salary for childcare workers is around $7.50 an hour.
I am supposed to get $150 twice a month. That’s about $2 an hour. And, she only gives me $75 one of those two times, because that’s when she has to pay her water and rent and energy and cellphone bills. This is for 60 hours of babysitting.
I am okay with that. I really need the money.
BUT: The government is giving out free money in May. $300 for individuals, $600 if you have an elgible child. The girl I babysit for, who already got a sizeable tax refund last month, of which I got nothing, and who claimed the full amount of money she is supposed to give me as a deduction, will get $600. My roommate, who is a veteran, will get $300. My other roommate, who gets SSDI, will get $300.
I will get nothing.
I know, as a “self-employed” individual, I am supposed to pay $250 of that money (“3600 a year”) towards social security. If I paid that now, I could get $300 in May. I don’t have $200. I never have $200. I know that I have no right to be pissed off.
But I’m still pissed off, because I work 30 hours a week for $75 (actually, half the time it’s $38) and everybody else is getting free money and I’m not. GRRRRR!!!
There is no such thing as “free” money from the government. I am not receiving a refund because I made too much money…your friends are getting money that was once mine.
You earned money last year, but since it was “under the table” you didn’t file a tax return, and don’t plan to.
And now you’re complaining because you’re not getting the “free handout” that those of us who filed returns are going to get (and which we will have to report as income on next year’s tax return)?-
Are you sure that’s right? I thought it wasn’t an “advance,” like the 2002 rebate, but more like a welfare check.
We’ll be getting one, and we fully intend NOT to stimulate the economy. We’re going to pay down our debt…I’m hoping to pay off our penultimate debt except for the house with it.
Dirk, my apologies. There should have been more tax cuts for small businesses and rebates for everyone. You’re being punished for your achievement and I’m sorry for that.
I see a bigger problem for you. If she declared the child care credit, claiming she paid you more than she did, (a) that’s illegal, but (b). it also may cause problems for you especiallly if you’ve not filed and paid ss taxes. I know when I claimed the child care credit, I needed to supply the SS number of the person receiving it. and that was 20 years ago.
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No free lunch here. I wouldn’t call a stimulus payment–more of a loan. Since the US Government is running such a hideous deficit, the money they’re giving us is borrowed. It will have to be paid back along with interest via higher taxes or less government services.
ivylass, I’m doing the same thing–using it to pay off debt.
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This hasn’t changed at all. I’m surprised the girl was able to claim the childcare and not have to show the caregiver’s SSN. Unless she did her taxes herself. I know places like Jackson Hewitt require proof of the amount of payments and SSN or Employee Identification Number from the caregiver.
ETA: Another problem I see here is brujaja provides a service to a friend at a greatly reduced rate than what a facility would charge but the friend doesn’t pay the full amount and isn’t reliable. Not much of a friend, if you ask me.
Aren’t you not receiving a refund because you claimed too many exemptions? I am of the understanding that this is what constitutes (in a simplistic way) whether or not you get a refund or not.
I make about 50k a year and the wife makes about 20k. We have three children, own a home, etc…I claim 5 deductions on my W-4 (one for me, one for being married, three for the kids) to maximize my take-home pay and reduce the amount of taxes I pay per check.
We got back about $3500 between state and federal paying as little taxes (legally) as possible.
I would have received more had I paid more throughout the year.
Isn’t that how it works for ALL income levels?
Is there any reason that you aren’t demanding full payment for your services? Or at least finding a way to make more money? I don’t understand how you could be supporting yourself on $150 a month.
You shouldn’t be pitting the lack of the free money check. You should be pitting your friend for taking advantage of you, followed up by a rant for being such a (well-intentioned, I’m sure) pushover.
I think Dirk is referring to this stupid “tax rebate” check. I doubt we will get a penny, because we make too much money as a couple. Of course, that means we pay a boatload in taxes, but hey- give out the checks to people who really need $- those who will foolishly spend it on an iPod or something.
:rolleyes: It’s lame and it won’t perform as advertised" by our President.
Are you joking? Because that is an incredibly stupid statement. Both parts, actually- the fact that you work 30 hours per week for $75, and the fact that you think that everybody is getting “free money.”
(c) Report their tax misreporting and collect a finder’s fee from the IRS. The last time I checked, the form was called Application For Reward For Original Information; it’s probably been renamed several times.
While I don’t have a cite immediately available, it’s my understanding that the IRS very rarely pays out the reward even if the criteria is met. You’ll note that the award is “…made at the discretion of the IRS…”
If someone can falsify my claim, be my guest. Still, the day I heard about the establishment of a “whistle blower office,” my BS detector told me it was more a public relations stunt than anything else.
The OP won’t necessarily be turned in for not having a license. I don’t know the OP’s location but in Texas a person may run a group home daycare and not be licensed or registered if there are 3 or less children in attendance. So if the OP is only taking care of one child, she (he?) does not need a license.
I agree with monstro. I think you’re ticked at the friend who is taking advantage of you and you are letting her and it has nothing to do with the government. She got a nice refund and will be getting another “bonus” refund and she isn’t using that to pay what she owes you even though she has claimed to have paid it on her tax return.
So you get paid $56/week (averaged), for 30 hours work. And from any other sitter, your friend would only get (assuming $7.50/hour rate for a sitter) 7.5 hours of childcare.
To be honest I think its more fair to say that you work 7.5 hours for pay, and spend the other 22.5 hours doing your friend one ginormous favor.
That’s not the way I understand it. Correct me if I’m wrong, and I don’t have a site handy, but from what I read this is basically a handout. Yes, it counts as income for next years taxes. That will increase your total earned income and slightly increase total taxes owed, but it doesn’t come directly off your next years refund.