Are You A Domestic Employer?
You are a domestic employer if you hire someone to do work in your home and that worker is your employee. The worker is your employee if you can control not only what work is done, but how and when it is done. (If only the worker can control how the work is done, the worker is not your employee but is self-employed and is often called an independent contractor.)
Domestic Employer Responsibilities
If you are a domestic employer, by law you have several responsibilities including, but not limited to the following:
• Verifying that all employees can legally work in the United States
• Withhold social security and Medicare taxes.
• Withhold federal and state income tax
• Make advance payments of the earned income credit when necessary
• Keep records for all payroll and tax matters
• Get an employer identification number
• Give all employees copies of Form W-2 (Wage and Tax Statement)
• Send a copy of Form W-2 to the Social Security Administration
• File IRS Form 941 and related state returns
• New hire reporting to the state of Oregon
Inclusion Fiscal Intermediary Services assists customers in performing all these employer responsibilities. It is our job to act on behalf of our customers in their capacity as employers and to assist them in learning the roles and responsibility of being employers.