topic Household Worker paid by siblings in Get your taxes done using TurboTax

Household Worker paid by siblings

tonyd66 — Mon, 09 Mar 2026 08:30:23 GMT

My siblings and I are thinking about paying for a household worker for our Aunt who is on Medicaid home based waivers. If we each end up paying $2300 or less to the household worker, do we need to withhold taxes?

Re: Household Worker paid by siblings

DawnC — Thu, 10 Mar 2022 02:10:28 GMT

No. You're not required to withhold federal income tax from wages you pay to a household employee. However, if your employee asks you to withhold federal income tax and you agree, you'll need a completed Form W-4, Employee's Withholding Certificate from your employee. See Publication 15-T, Federal Income Tax Withholding Methods for tax withholding tables that are updated each year.

Topic No. 756 Employment Taxes for Household Employees

Re: Household Worker paid by siblings

tonyd66 — Thu, 10 Mar 2022 02:15:13 GMT

Thanks, I have heard something similar to that. I understand correctly, if I pay the household worker $2,300 or less at my Aunts and then my sister pays the household worker $2300 or less at the same Aunt's, then neither of us would have to withhold taxes? Maybe I didn't phrase it quite correctly.

Re: Household Worker paid by siblings

PattiF — Thu, 10 Mar 2022 02:33:22 GMT

You would be required to file a Schedule H if you paid a worker more than $2,300 during the tax year. This form is used to figure out the household employment taxes that you would pay.

Here is a TurboTax help article about Schedule H. Here is more detailed information from the IRS.