Au Pair Taxes

Au Pairs, did you know that if you were in the US and earned income between January 1st – December 31st, 2021 you are required to file taxes this year? The filing deadline for the 2021 tax year is Monday April 18, 2022.

Agent Au Pair’s Tax ID: 94-3407180

*Agent Au Pair advises that au pairs and host families to speak with a tax professional to discuss specific tax information as tax laws differ in every state. We are happy to share general guidelines regarding host family and au pair taxes.

SPRINTAX Tax Support

Agent Au Pair and LPI Learning are excited to share that we have teamed up with Sprintax to provide you with an easy to use tax preparation software option. Sprintax will guide you through the process, help you organize the required documents, and even check if you’re owed a tax refund. Click here to follow the six easy steps. The first 50 au pairs who use Sprintax to prepare their taxes can save $5 by entering the code 21LPI50F5.

General Tax Information

Tax laws differ in every state, Agent Au Pair advises that au pairs and host families to speak with a tax professional to answer any specific tax questions that they may have.

Au pairs receive a Workbook during the Au Pair School informing them of their responsibility to pay taxes. Agent Au Pair recommends that au pairs save up to 2 weeks’ stipend in case they owe taxes. Below is useful links for au pairs when filing taxes. Taxes are due April 15th for the prior year’s earnings.

Most au pairs will fill out form 1040ES (NR). This is the Federal Income Tax form for Non-residents.

General Tax Information: https://blog.sprintax.com/au-pair-taxes-explained/

Paying Taxes throughout your Au Pair Year

The IRS permits au pairs to pay tax in quarterly instalments. To do this, they would need to do submit Form 1040NR-ES (estimated tax return) to the IRS on a quarterly basis and enclose a cheque for the amount that they are paying. Alternatively, they may also pay their tax in full at the end of the tax year with their 1040NR.

Childcare Expenses

Agent Au Pair advises host families to discuss this with a tax advisor. To claim the Child and Dependent Care Tax Credit for the weekly payments given to the au pair, the host family must provide the social security number of the au pair.

How can my au pair obtain a social security number?

Au pairs must apply at your local Social Security Office for a “work only with DHS authorization” social security card. Au pairs can apply for their social security card one week after they arrive in the United States.

To obtain a Social Security Card, the au pair will need:

  • A valid passport containing their J-1 Visa
  • I-94 card printed out
  • DS-2019 form
  • Proof of Identification that is at least one year old (passport, driver’s license, certified copy of birth certificate that is one year old)

Social Security and Medicare Taxes

Generally, au pair wages are not subject to social security and Medicare taxes because of the au pair’s status as a J-1 non-immigrant and as a non-resident alien. However, if the au pair had previously been in the United States as a student, teacher, trainee, or researcher in F, J, M, or Q non-immigrant status, then the au pair might be a resident alien during her/his current stay in the United States, and might be subject to social security and Medicare taxes. Please contact a tax professional to discuss your tax situation to determine whether your host family must withhold social security and Medicare taxes. The host family will need to apply for an Employer Identification Number (EIN) if they are required to withhold tax and file Form W-2. The au pair will need to apply for a U.S. social security number.

The IRS considers pairs as employees of the host family. Due to this, au pairs are required to file US individual income tax returns. For this, au pairs will need to have an overview of their weekly stipends (income) which they receive from their host families. Almost all au pairs are able to use the form 1040ES (NR) to file for their tax returns. The form as well as instructions to fill the form can be found on the IRS website, https://www.irs.gov/pub/irs-pdf/f1040esn.pdf. If you need assistance filing for your tax return, please contact a tax professional.