w2 income for caregiver of a family member
Hello I received a w2 for being paid as a caregiver to my mom, no fed taxes were taken out and in box 14 it states household employee, am I responsible to pay fed taxes?
Answers
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Did Box 1 have an amount?
Are there any code or amounts in Box 12?
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Box 1 has the wages paid by my mom as the employer, box 12 no codes, soc sec and medicare taxes were withheld automatically just no fed or state
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Your mom sent you a W2?
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She is listed as the employer, as I am her caregiver
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Hi MsC,
It sounds like your W-2 may be reporting Medicaid waiver payments receiving for caring for your mother.
You can read more at:
If this is your situation, please enter your W-2 as it appears.
After entering your W-2, navigate through the following menu path: Income > Uncommon Income > Other Income.
Scroll down until you find the line labeled "Medicaid Waiver Payments to Care Provider." Select "Yes," and you will see two entry fields:
- One for non-taxable payments reported on your W-2.
- Another for non-taxable Medicaid payments not included in Box 1 that you may choose to include in earned income.
Including these non-taxable earnings may increase your Earned Income Credit (EIC) without affecting your tax liability. However, choosing to include these wages with your taxable income is optional.
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Thank you
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Thank you so much, just so im clear as long as the payment is received by Medicaid for caring for my mom in her home that I reside as well, it can be excluded?
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@MsC Yes, that is correct.
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Thank you
