Hi all,
My wife and I have a rental house - for several years. We file Schedule C. I have 4 kids - 2 under 18 and 2 over 18 - that helped me with remodeling, cleaning and landscaping over several years.
I paid them during previous years - online transfers to their accounts - but I never thought about that as a business expense. As they help more, I realized I should count that as an expense too.
I thought initially I'd give them 1099-misc for 2022, but I realized W-2 is the right thing to do (according to the IRS articles).
I learned that I should have withheld SS and Medicare for the kids over 18.
How do I handle it now?
January 31st is the deadline to file, so I'm late. I can file with $50 per child fine.
But how/where is withholding reported/kept? Where do I send the IRS money?
How do I attack this? How does it link with our 1040?
I can generate W2s in TurboTax Home and business, but I need some general guidelines.
All kids made under $3,000 each in 2022. They don't plan to use the money to fund Roth-IRAs, just keep and spend it.
I also already filed 1099-misc on time for other contractors. Does it change anything?
Thanks.
