topic How can I complete my employed, under 18 yo, child's W2 that will not allow $0 under SS and Medicare withholdings? in Get your taxes done using TurboTax

How can I complete my employed, under 18 yo, child's W2 that will not allow $0 under SS and Medicare withholdings?

spaldsc — Tue, 04 Jun 2019 19:16:51 GMT

TT will not allow me to create a W2 for my children that I employed under my LLC with $0 listed under SS and Medicare withholdings, despite their exempt status based on age and income less than $600.00 for the year.

Did they do bonafide work for the LLC?

SweetieJean — Tue, 04 Jun 2019 19:16:55 GMT

Did they do bonafide work for the LLC?

The wages for the services of a child are subject to inco...

SweetieJean — Tue, 04 Jun 2019 19:16:58 GMT

The wages for the services of a child are subject to income tax withholding as well as social security, Medicare, and FUTA taxes if he or she works for a corporation, even if it is controlled by the child's parent.

Are you filling out the W-2 in TurboTax Business or using...

Hal_Al — Tue, 04 Jun 2019 19:16:59 GMT

Are you filling out the W-2 in TurboTax Business or using Quick Employer Forms (QEF) in TT Home & Biz?

Is your LLC taxed as an S Corp?

SweetieJean — Tue, 04 Jun 2019 19:17:01 GMT

Is your LLC taxed as an S Corp?

Yes, they do bonafide and documented work for the LLC. I...

spaldsc — Tue, 04 Jun 2019 19:17:02 GMT

Yes, they do bonafide and documented work for the LLC. I am filling out the W-2 forms in Quick Employer Forms - this is the link from TT Home and Biz. My LLC is not an S Corp, partnership with my wife as sole owners of the LLC.

If your LLC is owned by you and your spouse and your chil...

MinhT — Tue, 04 Jun 2019 19:17:03 GMT

If your LLC is owned by you and your spouse and your child is under 18, you do not need to withhold FICA taxes (Social security and Medicare).

To create the W-2 without FICA withholding, uncheck the check mark next to "Uncheck to disable auto-calculate" as by default this is checked. You enter 0 as Social Security wages and 0 as Medicare wages. You can then enter 0 for both Social security and Medicare withholdings and the program will accept it.

Edited 01.11.18 | 4:00 PM

OP hired his own children. If your child is under 18, yo...

SweetieJean — Tue, 04 Jun 2019 19:17:05 GMT

OP hired his own children. If your child is under 18, you don’t have to withhold or pay any FICA (Social Security or Medicare) tax on the salary, subject to a couple of exceptions
. <a rel="nofollow" target="_blank" href="https://www.nolo.com/legal-encyclopedia/why-its-tax-smart-hire-your-children.html">https://www.nolo.com/legal-encyclopedia/why-its-tax-smart-hire-your-children.html</a>

https://www.irs.gov/businesses/small-businesses-self-employed/family-help">https://www.irs.gov/businesses/small-businesses-self-employed/family-help</a>
But OP has not indicated if the LLC is an S Corp.

Please see my edited answer on how to create the W-2 in T...

MinhT — Tue, 04 Jun 2019 19:17:07 GMT

Please see my edited answer on how to create the W-2 in TurboTax.

Also note that the Partnership return Form 1065 requires...

SweetieJean — Tue, 04 Jun 2019 19:17:09 GMT

Also note that the Partnership return Form 1065 requires the use of TT Business (not Home and Business).

topic How can I complete my employed, under 18 yo, child's W2 that will not allow $0 under SS and Medicare withholdings? in Get your taxes done using TurboTax

How can I complete my employed, under 18 yo, child's W2 that will not allow $0 under SS and Medicare withholdings?

Did they do bonafide work for the LLC?

The wages for the services of a child are subject to inco...

Are you filling out the W-2 in TurboTax Business or using...

Is your LLC taxed as an S Corp?

Yes, they do bonafide and documented work for the LLC. I...

If your LLC is owned by you and your spouse and your chil...

OP hired his own children. If your child is under 18, yo...

https://www.irs.gov/businesses/small-businesses-self-employed/family-help">https://www.irs.gov/businesses/small-businesses-self-employed/family-help</a>But OP has not indicated if the LLC is an S Corp.

Please see my edited answer on how to create the W-2 in T...

Also note that the Partnership return Form 1065 requires...

https://www.irs.gov/businesses/small-businesses-self-employed/family-help">https://www.irs.gov/businesses/small-businesses-self-employed/family-help</a>
But OP has not indicated if the LLC is an S Corp.