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tomanyquestions Asked January 2020

Getting paid for caring for parent in my home; Do I have to report as income?

Do I have to report money I get to take care of my mother to the IRS as income?

Isthisrealyreal Jan 2020
You can not be paid as a 1099 worker. I would check into a payroll processing company and have your checks cut through them. They ensure that ALL of the matching taxes and insurances are in place and you send in a timesheet, they cut a check and bill your moms estate or whomever is paying the bill.

You do want to check out how much you can earn while on SS. You can be liable to pay taxes on your SS if you earn to much.
JoAnn29 Jan 2020
Interesting. I don't think this has ever been mentioned before.
JoAnn29 Jan 2020
The 1099 sound good.

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mollymoose Jan 2020
If you’re not afraid of getting caught by the IRS for not reporting it, another thing to consider is Medicaid.
If your mom ever needs to file for Medicaid, it’s possible that they will want proof that she was actually paying you for caregiving and wasn’t just gifting you money. The nursing home financial person told us that checks weren’t sufficient proof.
tomanyquestions Jan 2020
Thank you for the information. Should I be getting a form 1099 from the her designated payee?
Isthisrealyreal Jan 2020
If you have to file taxes you have to declare income.

Talk to your tax advisor and find out how much you can earn while on SS.

anonymous972110 Jan 2020
Yes

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