Posted in Child Care, Money, Working Parents

In-home daycare payment?

Anonymous

We are putting our three month old in an in-home daycare facility, which is very close to our home (and she’ll be the only child at the moment!) The caretaker has asked for cash weekly. Does anyone have experience with in-home daycare payments? Should we be asking for receipts so that we can use our FSA dollars? Because she is running her own business, we don’t have to be concerned about how she reports her income, right? Thank you!!

  • B
    Mar 08

    You DEF should get receipts. For taxes, FSA, and just in case things go wrong.

  • Anne
    Mar 08

    Yep ask for receipts! This should be normal for her if she operates a daycare, but it couldn't hurt to check in and make sure she will do it. Asking for cash is pretty normal for in-home daycares. And yes, unlike a nanny who comes to your home, if she is operating a daycare out of her home, she is self-employed and not your employee. So how she reports her income is up to her and not your problem.

  • B
    Mar 08

    Also know you’ll need her business tax ID number for taxes and FSA. So...hopefully she’s reporting the income

  • Anonymous
    Mar 09

    Thank you both! This is helpful. She’s given us her tax id and is more than happy to write us receipts when I asked! Really appreciate the help!