When working with a private caregiver taxes are an important consideration.
Private caregiver taxes are important. That’s why you should speak with a tax professional about your specific situation. We have! Unfortunately, we have found many instances of businesses that are not tax professionals providing misleading or even false tax advice.
Here is how a responsible Nurse Registry manages private caregiver taxes.
Abby Services is a Nurse Registry licensed and overseen by the Agency For Healthcare Administration (AHCA). Our state regulations specifically allow us to work with 1099 independent contractors.
We work together with 1099 Independent Contractors to offer private care opportunities to clients seeking a caregiver’s services. We also provide administrative services for private caregivers looking to market their services to prospective clients. We do not provide home healthcare but are a source for prescreened individuals who do provide care.
As any responsible business should operate, we comply with federal tax and Department of Labor requirements. This includes private caregiver taxes.
Some unscrupulous or uneducated businesses attempt to mislead consumers and professionals by making deceiving generalized statements like “Nurse Registries” or “Private Professional In-Home Caregivers” “do not pay taxes.”
Statements like these are intentionally misleading and are meant to scare consumers and professionals into choosing one business over another. Abby Services does not engage in these dirty tactics to mislead consumers.
Abby Services seeks instead to educate patients and their families about their options for In-Home Care as well as other options that may suit their needs. We are happy to discuss how our business operates with the intent to inform and educate.
During tax season A 1099 is submitted for each caregiver we work with as a way to report caregiver earnings for the year as required by the IRS. a 1099 is similar to a W-2 which is used for employees, both of which report earnings. A 1099 is required for any individual or business earning $600 or more in a tax year.
In addition to properly reporting private caregiver taxes, here are some of the other ways we help caregivers and clients.
Per The Agency for Health Care Administration Abby Services conducts a Level 2 background screening and verifies credentials of potential caregivers.
We comply with a multitude of additional requirements to screen individuals who are suited to be safe and effective caregivers.
We then assist clients by locating professional screened caregivers who may be able to meet a client’s needs.
Abby Services informs, potential caregivers, of the opportunity to work for a potential client. If the private caregiver is interested in the opportunity, they are provided general information on a client’s requested schedule and services.
The caregiver and client work together to fully develop; how a caregiver’s services will be provided, when caregiver services will be provided, and where caregiver services will be provided.
Caregivers offered opportunities are not obligated to pursue and/or accept offered opportunities. Many caregivers working with Abby Services also work for other similar services and even choose to work privately.
Abby Services does not provide any equipment to caregivers (If any specific materials or supplies are required, it is the client’s/caregiver’s responsibility to provide them).
Abby Services does not presume that we can effectively supervise a caregiver in your home and we do not try. In-home care is supervised by family, friends, guardians, etc. If a client has any issues Abby Services will take them very seriously and address them promptly as directed by a client. We do not attempt to insinuate that we could possibly supervise your private caregiver in an effective manner while they are in your home without being there.
Clients wishing to receive professional supervision are encouraged to seek out Certified Geriatric Care managers who can oversee and manage even the most involved cases.
This may seem odd, but Abby Services will never terminate a caregiver a client is working with. It is always a consumer’s choice to use or not work with a private caregiver.
Part of the services Abby Services provides is processing caregiver/client payments according to information provided by clients.
Abby Services does not set the pay rate but facilitates client/caregiver negotiations by sharing with clients and caregivers current market rates and allowing them to independently adjust payment for services as they see fit.
At its most basic, we are a matchmaking service.
We work to match you or your loved ones with the perfect in-home caregiver. Submitting tax documents properly and responsibly is just one part of delivering a great service. To find out more call 239-590-0861 today