I pay my mom who lives with me to watch my 2 children via direct deposit from my paychecks. It was about $22k for last year (2023). She's only 58, so not of retirement age yet and wants to be sure this will count towards her retirement credits. I've read that since she's my parent and I don't meet both of the exceptions, I'm not obligated to pay social security or medicare taxes etc, so as far as I can tell I don't need to do anything special within MY tax return. Obviously, SHE needs to report the income still. Should I have made her a W-2 or does she just report it as miscellaneous income?
I found where to do it in TurboTax and it states not to report more than $2,600 and to have the employer submit the W-2, but I saw another comment from several years ago say just ignore that and put the full amount of wages in, so just wanted to be sure we're doing it all correctly.
Thanks for any direction!
