Guide to Taxes in the J-1 Au Pair Program
According to the Internal Revenue Service (IRS), the au pair stipend constitutes “wages”. This means that Au pairs must report their stipend income to the IRS and it is subject to income tax.
Agent Au Pair advises that au pairs and hosts speak with a tax professional as tax laws differ in every state. While J-1 visa sponsor agencies, such as Agent Au Pair, cannot provide detailed tax guidance, this basic guide will help educate au pairs on how to avoid scams and file their tax returns correctly.
Agent Au Pair’s Tax ID: 94-3407180
- Social Security and Medicare Taxes
- Income Tax Withholding
- Federal Unemployment Taxes (FUTA)
- Income Tax Filing
- A complete tax guide for au pairs
- Residency for tax purposes
- Tax exemptions for au pairs
- Tax Documents
- Filing an income tax return
- Instructional videos
- Child and Dependent Care Tax Credit
- Obtaining a Social Security Number
Tax Day in the United States
Au pairs who earned income between January 1st – December 31st, 2022 are required to file taxes this year. The filing deadline is Tuesday, April 18, 2023 which is known as Tax Day in the USA.
Be Prepared To Pay Taxes
Au pairs should save about 2+ weeks’ stipend or 10-12% of their total earnings and be prepared to pay taxes to the U.S. government.
Form 1040-ES (NR) for Nonresident Individuals
Au pairs will have to file a return, and since in general exchange visitors are considered nonresident aliens, they will need to file a Form 1040NR (which they can e-file or mail).
Social Security (SSN) or Individual Taxpayer ID (ITI)
Au pairs will need to obtain either a Social Security Number (SSN) or Individual Taxpayer Identification Number (ITIN) to file taxes.
Tax Preparation Software Notice
Common tax preparation software (e.g. TurboTax) typically does NOT support filing with a Form 1040NR. Using such software may make au pairs appear to be filing erroneously as U.S. residents, and doing so intentionally or unintentionally may make the Internal Revenue Service (IRS) suspect them of tax fraud.
Beware of “Ghost Preparers”
Au pairs must be cautious of individuals or companies offering to file your tax returns. Taxpayers should beware of “ghost preparers” according to the IRS. Read about the warning signs of “ghost preparers” (who file the returns but refuse to sign as the preparer).
Sprintax for Nonresident Individuals
Agent Au Pair has teamed up with Sprintax as a reputable tax preparation software option. Sprintax offers a simple way to file your US nonresident federal & state tax returns in 6 simple steps. Au pairs who choose Sprintax will be guided through the process, receive help organizing the required documents, and even receive confirmation if they are owed a tax refund.