Karen S. Relstab

Tax Information For Host Families

Posted by: krelstab on March 31, 2010

While Cultural Care is not able to provide specific tax information for host families because their circumstances are so different, we are pleased to provide general guidelines regarding host family and au pair taxes, as well as information to help au pairs complete their tax returns.  Because we update these guidelines on a regular basis, we suggest that you download our most current guide to host family and au pair taxes via the follow link.

http://infosource.family.culturalcare.com/media/167429/tax%20information%20final.pdf

You can also call our office and request a copy by email.

Please note that Cultural Care is not licensed to provide official tax advice, so none of our staff may counsel host families or au pairs regarding tax issues.  Since tax laws vary from state to state and are changed on a frequent basis, we advise host families and au pairs to speak with a local professional tax advisor or directly with the Internal Revenue Service for definitive answers to any specific questions regarding taxation.

Important Au Pair Tax Information

• The IRS considers au pairs to be “employees” of the host family for tax reasons, even though they are in the United States on a “cultural exchange” visa.  This means that au pairs are required to file U.S. individual income tax returns even though many au pairs will not owe any taxes
• By April 15, the au pair should file form 1040NR-EZ or 1040NR to report his or her au pair stipend for the previous calendar year
• In order to file income taxes in the United States, all au pairs need to have either a social security number or an Individual Taxpayer Identification Number (”ITIM”)
• Au pairs are allowed to claim a personal exemption for themselves, but are not eligible for the standard deduction in their tax filing.   As stated above, au pairs are not considered “students” by the IRS so they are also not eligible to exclude au pair wages from gross income under the student article of any U.S. income tax treaty
• Because the maximum tax burden for the vast majority of au pairs is less than $1,000, there is usually no need for the au pair to make quarterly estimated payments, or to have the host family withhold taxes.  There are some exceptions to this rule which are explained in our more detailed guide which is downloadable above.

Important Host Family Tax Information

• Child and Dependent Care Tax Credit: As long as you have used the au pair’s child care services in order to work or look for employment, the stipend paid to your au pair, the costs of room and board and the program fees paid to Cultural Care are all eligible under the Child and Dependent Care Tax Credit.  Cultural Care’s federal tax ID number is 20-2020345
• Dependent Care Reimbursement Programs: The eligibility requirements for these programs (often called “Flex-Spending Accounts” or “FSAs”) are usually identical to those for the Child and Dependent Care Tax Credit.  Please note that expense paid for using Dependent Care Reimbursement Program funds are not also eligible for the Child and Dependent Care Tax Credit
• Flex-Spending Account Paperwork: Cultural Care is happy to provide host families with a summary statement of payments received during a tax year.  We are also able to sign and complete most forms that your plan might require for reimbursement.  Please note, however, that we are only able to provide you either the total amount you paid in a given calendar year, or the amount you paid in a given calendar year with the dates of the applicable full au pair term of service (e.g. one year, six months, etc.).  Cultural Care cannot provide documentation explicitly pro-rating payments received to a specified range of dates.  Contact our office if you require any assistance in claiming a Dependent Care reimbursement
• Withholding for Au Pair Taxes: Because the maximum tax burden for the vast majority of au pairs is less than $1,000, there is no need for the au pair to make quarterly estimated payments.  In addition, because au pair wages are deemed by the IRS to be paid for domestic service in a private home, they are not subject to mandatory income tax withholding on Forms 941 and W-2 by the host family. Host families usually do not need to pay federal unemployment taxes for their au pair or to withhold Social Security and Medicare taxes.  There are some rare cases where this rule might not apply - please refer to our downloadable guide for more details
• Other Potential Host Family Tax and Financial Issues: We strongly recommend that you inquire with a professional insurance advisor about specific state laws and requirements which may include, but not be limited to, workers’ compensation insurance and state unemployment taxes

Staying Healthy ~ Tips For Host Families and Au Pairs

Posted by: krelstab on March 25, 2010

The health and well-being of all program participants is of the highest priority at Cultural Care Au Pair.  It is important that host families and au pairs discuss expectations that they have of each other regarding general health and how illness or illness prevention will be handled in the household.  Be sure to discuss how to handle illness on the part of any of the host family children as well as illness on the part of the au pair and what the back-up plans will be if he/she is unable to perform the au pair duties that day.  

 We provide au pairs with information at our training school facility regarding the importance of handwashing and the prevention of spreading germs.  This is a vital issue that should continue to be encouraged upon arrival to the host family home and represents one of the most important and effective steps in preventing the spread of viruses such as the common cold, seasonal flu, and the H1N1 flu virus. 

According to the Centers for Disease Control and Prevention (CDC), there are some very simple everyday actions that can help prevent the spread of germs that cause respiratory illnesses like influenza:

• Cover your nose and mouth with a tissue when you cough or sneeze. (Throw the tissue in the trash after you use it.)
• Wash your hands often with soap and water. If soap and water are not available, use an alcohol-based hand rub.
• Avoid touching your eyes, nose and mouth. Germs spread this way.
• Try to avoid close contact with sick people. Stay home if you are sick. CDC recommends that you stay home from work or school and limit contact with others to keep from infecting them.
• Follow public health advice regarding school closures, avoiding crowds and other social distancing measures.
• Be prepared in case you get sick and need to stay home for several days; a supply of over-the-counter medicines, alcohol-based hand rubs, tissues, facemasks and other related items might be useful and help avoid the need to make trips out in public while you are sick and contagious.

For more information on flu prevention and treatment, visit the CDC website dedicated to this issue:  http://www.cdc.gov/flu/

For even more family health information, visit these CDC websites:

BAM! Body and Mind http://www.bam.gov/   Learn what you need to know to make healthy lifestyle choices.

Choose Respect http://www.chooserespect.org/  Learn how to build healthy relationships to stop dating abuse before it starts.  

Diabetes and Healthy Living: The Eagle’s Nest http://www.cdc.gov/diabetes/eagle/  Learn from the wise eagle in this book series how to use balance, courage, healing, strength, and wisdom to prevent diabetes and grow safe and strong.  

Environmental Health for Kids http://www.cdc.gov/nceh/kids/  Learn how CDC works to help you stay healthy wherever you live, work, and play.

Express Your Health: Fun Pages for Kids http://www.cdc.gov/family/kidexpress  Learn safe and healthy habits with these fun pages, including an activity book, puzzles, and coloring pages.

Facts about Toxic Chemicals and the Environment http://www.atsdr.cdc.gov/child/ochheykids.html  Learn about some toxic chemicals that you might find in your own home, school, neighborhood, town, or city.

Kids’ Quest on Disability and Health http://www.cdc.gov/ncbddd/kids/kidhome.htm  Learn the answers to some of your questions about kids with disabilities.

Rabies http://www.cdc.gov/rabiesandkids/  Learn how to protect yourself and your pets from a serious disease called rabies.

Farewell Dear Friends….

Posted by: krelstab on March 24, 2010

In the past several months we have said goodbye to many of au pair friends. Some went back to their home country. Others moved on to a different family. At this time I just wanted to write a post about them. They are missed and we all wish them well in the future.

Claudia

Maria

Leslie

Adriana

Vanessa

Juliana

Nadine

Jana

Annie

Carolin

Luisa

Julia

#2 March LCC Meeting

Posted by: krelstab on March 20, 2010

As a makeup meeting for those au pairs that missed the first March LCC meeting or those who just wanted to get credit for an extra meeting we helped out today at the Lake County Mothers of Twins Group Children’s Resale at the Round Lake Beach Civic Center.  The weather for the first day of Spring was cold, snowy, and windy, but we were inside helping out this group.

From left to right Liset from Peru, Flavia from Brazil, LCC Karen Relstab, Rikard from Sweden who just arrived yesterday, Marianne from Denmark who also just arrived yesterday, Sandra from Sweden, and Linda from Chile.

Thank you for all your hard work today! It was greatly appreciated….

Karen Relstab

LCC

Brazilian Au Pair Needs A Family..

Posted by: krelstab on March 17, 2010

Juliana From Brazil

Dear Host Family,

Juliana from Brazil is looking for a host family in the US. She is 22 years old and a university student who wants to be a translator. She is in great health, a non smoker, swimmer, pet friendly and speaks English. She has experience working as a teacher, secretary, cashier and assistant. She lives in Campo Grande Brazil, with her parents and younger sister. Juliana likes to cook and help her mother with the household activites. In her spare time she enjoys volleyball, swimming, bicycling, and walking. She also loves to organize parties and learn to make new desserts. Her childcare experience has been working in a daycare center.

Juliana has been driving every day and has her liscense.

Juliana could be arriving to your home as early as the first week in May.

If you are looking for childcare and would like to learn more about Juliana and the au pair program I would love to hear from you.

Local Childcare Coordinator

Karen Relstab

Telephone 847-680-3794

Should I Include My Au Pair When Completing My 2010 Census Form?

Posted by: krelstab on March 16, 2010

It’s Census Time - How do I count my au pair?

As you are filling out your census forms for the 2010 census some host families are wondering should they count their au pair on the census. Here is the recommendation:

In the first section where it asks about household members there’s a separate box for live in babysitters and others who may live in the home but may not be members of the family and that’s where an au pair can be counted.

If you have any further queistons you can go to the census website at

http://2010.census.gov/2010census/

Children’s Resale Show Saturday March 20, 2010 8am to 12 noon (Second March LCC Au Pair Meeting)

Posted by: krelstab on March 15, 2010

LOOKING TO MAKE UP A MISSED LCC MEETING. I AM LOOKING FOR VOLUNTEERS TO HELP ME AT THE ABOVE EVENT FROM 10 AM TO 12 NOON. PLEASE RSVP TO ME ASAP IF YOU ARE INTERESTED.

Karen Relstab

March LCC Au Pair Meeting

Posted by: krelstab on March 14, 2010

Pizza & Laser Tag At Rinkside Family Entertainment Center!

Welcome Capucine and Victoria!!!!

Posted by: krelstab on March 5, 2010

Capucine From France arrives on 3/5/10

Victoria From Austria arrives 3 5 10

Spring Discount Promotion

Posted by: krelstab on March 1, 2010

Spring Savings - Save $350
The spring season represents new beginnings -making now a great time to secure childcare by hosting a Cultural Care au pair. Families who apply between March 1, 2010 and March 31, 2010 are entitled to a $350 program fee discount. The weekly cost is just $330-or $7.30/hr (per family, not per child). To qualify for this discount, families must be new to Cultural Care Au Pair and welcome an au pair into their home by October 22, 2010.