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sbrancha
New Member

Do grandparents have to claim the money they made in 2021 for caring for grandchildren? What if they do not file income tax?

 
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MaryK4
Expert Alumni

Do grandparents have to claim the money they made in 2021 for caring for grandchildren? What if they do not file income tax?

Maybe.  If you made more than $400 you would have to file and pay self-employment tax on it (even if there is no income tax due until you exceed the standard deduction amount.)  See Babysitter Taxes (Who Owes It & How to Pay)

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Do grandparents have to claim the money they made in 2021 for caring for grandchildren? What if they do not file income tax?

State tax treatment may be different.

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