General Discussion

FirstLight

(15,771 posts)

65. ding!

Wed Feb 27, 2013, 01:02 AM

Feb 2013

I know plenty of ind. contractors...some housekeepers, some do small office work or fix-it stuff. It is very difficult to get a business off the ground at that level, and paying additional people is between them. 1099's are good, but they are also usually something that requires more paperwork, etc. The moving guys I know pay their guys in cahs most times, just because it is a 'split the gig' kind of deal.

Just because someone is licensed and bonded doesn't mean they aren't struggling. The cash aspect may be for reasons as simple as not having a reliable bank acct, or a deal to pay helpers in cash...don't judge, if you trust the person on a real level, the cash aspect is nothing more than a request from the vendor...

And the whole 'bust her on her taxes' idea mentioned above is just plain cruel... you don't know how much she makes a year, or how many people she supports, etc. The big wigs will out rob the rest of ALL of us before this would make a difference...

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What should the response be to someone wanting to be paid in cash for a service? [View all] phylny Feb 2013 OP

If you trust her to be in your house, why don't you trust her to pay her taxes? slackmaster Feb 2013 #1

Because people who pay taxes usually accept checks or other forms of payment pnwmom Feb 2013 #42

Every detail of the Proles lives must be documented and recorded green for victory Mar 2013 #123

I wonder how many times 2naSalit Mar 2013 #124

This is what I thought... kiapolo Mar 2013 #126

Trust has to be earned. Clearly she's already having doubts JimDandy Feb 2013 #63

If I had doubts about someone's honesty WRT paying taxes, I wouldn't let that person... slackmaster Feb 2013 #91

In a case like that... pipi_k Feb 2013 #92

Is she an undocumented immigrant? roody Feb 2013 #2

Tell her there are IRS implications and that you are concerned. If she says something negative Lint Head Feb 2013 #3

There are no IRS implications for the op. Warren Stupidity Feb 2013 #26

W9 merrily Feb 2013 #86

She's responsible for filing her taxes not you. Cleita Feb 2013 #4

You don't have to do this when you hire independent contractors, who control their own work. pnwmom Feb 2013 #43

Not true Tumbulu Feb 2013 #57

Exactly. JimDandy Feb 2013 #68

That's because you were operating a business. The 1099 form is for businesses. pnwmom Feb 2013 #95

So basically both parties have to be in business? n/t JimDandy Mar 2013 #99

No, I don't think so. Because businesses have issued 1099's pnwmom Mar 2013 #100

Interesting. Thanks JimDandy Mar 2013 #121

The 1099-misc form is for payments made by businesses. pnwmom Feb 2013 #96

Get a receipt. N/t Evergreen Emerald Feb 2013 #5

^^^This^^^ demwing Feb 2013 #31

this SmileyRose Feb 2013 #50

How much did you pay for her work? n/t Egalitarian Thug Feb 2013 #6

Some of our clients write checks, some pay cash. We expect payment notadmblnd Feb 2013 #7

If you want to take it as an expense Tumbulu Feb 2013 #59

What if she is cheating on her taxes? Ohio Joe Feb 2013 #8

Yes but there are millions of those small fries cheating the system. I would not be surprised doc03 Feb 2013 #10

So... 'Lets get the small fry first'? Is that what you want to do? Ohio Joe Feb 2013 #15

Hmm. I know a few myself and they don't make enough money to qualify for income tax. They are poor. Pisces Feb 2013 #17

ding! FirstLight Feb 2013 #65

What about Self Employment taxes (aka FICA, aka Social Security and Medicare taxes)? kelly1mm Feb 2013 #76

Yes, and the time will come when they're old and receive very little if any napi21 Feb 2013 #87

Just make sure you file the W-2 or whatever tax forms are required, then the taxes are her problem. backscatter712 Feb 2013 #13

Sadly, per the IRS's statistics, this is one of the largest ares to generate revenue. joeglow3 Feb 2013 #60

THIS ^ Adsos Letter Feb 2013 #80

If you pay cash, you should get a discount. FarCenter Feb 2013 #9

CYA: Give her the cash, with a receipt, make her sign for it, and send her a W-2 form. backscatter712 Feb 2013 #11

you can always 1099 her at the end of the year ProdigalJunkMail Feb 2013 #12

Only if the total pay is at least $600 slackmaster Feb 2013 #24

I think that form applies only to payments made by a trade or business. pnwmom Feb 2013 #47

interesting... ProdigalJunkMail Feb 2013 #88

I dont see most housekeepers making that much per year that she would have to pay income tax. Maybe Pisces Feb 2013 #14

What about SE taxes? AKA FICA/SS/medicare taxes? That is 15.625% over $400. Should kelly1mm Feb 2013 #78

Yes. She should be paying the taxes Travis_0004 Mar 2013 #103

Pay her however she wishes and get a receipt. After that, it's really not your concern. kestrel91316 Feb 2013 #16

The cancelled check is a good enough receipt. Ikonoklast Mar 2013 #114

Good answers from all. phylny Feb 2013 #18

Welcome to the Underground Economy. IdaBriggs Feb 2013 #19

Vulcan mind meld, Ida :) phylny Feb 2013 #22

It's tough stuff, especially when they are LOOKING at you. IdaBriggs Feb 2013 #32

If you pay her over $600 in the year, send her a 1099 next January Ruby the Liberal Feb 2013 #20

^^^ This. You need to file a 1099-MISC on her or her business. Lex Feb 2013 #71

YOu would not send her a 1099-s. Travis_0004 Mar 2013 #105

I'd just pay the cash, as requested LadyHawkAZ Feb 2013 #21

Rubber checks can be a big problem Art_from_Ark Feb 2013 #46

The housekeeper had no problem taking a check... JimDandy Feb 2013 #69

She did have a problem taking a check. merrily Feb 2013 #84

Uh...pay her cash? HooptieWagon Feb 2013 #23

She is hidding something. Chances are she isn't paying her employees taxes or southernyankeebelle Feb 2013 #25

Cattle? Adsos Letter Feb 2013 #83

LOL yes cows. She raised and sold cows and put the money in her social security because southernyankeebelle Feb 2013 #98

I grew up in a world where "cash" was the normal form of payment. Warren Stupidity Feb 2013 #27

The first time I heard of a plumber having a "cash" rate and a "check" rate jberryhill Feb 2013 #39

The world became more JimDandy Feb 2013 #70

Ultimately, it's not your responsibility Jeff In Milwaukee Feb 2013 #28

Maybe she finds cash more convenient. Her tax affairs are none of your business. (nt) Nye Bevan Feb 2013 #29

Honestly, I would consider using the cash payment as a negotiating point for a better rate. maggiesfarmer Feb 2013 #30

Maybe she takes only cash because people have written her bad checks thelordofhell Feb 2013 #33

Then why would she take a check written to cash? nt kelly1mm Feb 2013 #79

How about giving her a postal Money Order? demwing Feb 2013 #34

There a many people who would love to have your business. Pterodactyl Feb 2013 #35

Get a receipt for her work and the rest is her problem. Lone_Star_Dem Feb 2013 #36

Someone above said to send her a 1099 jberryhill Feb 2013 #37

Why? It is none of your business. She is not your employee. Warren Stupidity Feb 2013 #40

No shit, that's what a W9 is for jberryhill Feb 2013 #41

LOL snooper2 Feb 2013 #44

Really? jberryhill Feb 2013 #56

some income level, beats me.. snooper2 Feb 2013 #61

An indivual does not file 1099's Travis_0004 Mar 2013 #108

I remain astounded by some of the comments here jberryhill Mar 2013 #111

I never said I was for cheating Travis_0004 Mar 2013 #113

Many small businesses prefer cash so they don't end up with bounced checks - lynne Feb 2013 #38

Do the other servants demand cash? Demo_Chris Feb 2013 #45

Generally, phylny Feb 2013 #54

I am happy to pay anyone in cash who desires it 1-Old-Man Feb 2013 #48

Nobody is obligated to accept checks or credit and it's impolite not to mind your own business. JVS Feb 2013 #49

When I pay someone to do something, I pay them in whatever tender they ask, but I generally ask for Zorra Feb 2013 #51

Cash. Buzz Clik Feb 2013 #52

I'd find a different service bhikkhu Feb 2013 #53

Everytime you pay cash at the store you don't know if they are paying taxes on it! indie9197 Feb 2013 #55

True, but when I owned my own company and paid all that, I also phylny Feb 2013 #64

Yes, but store transactions generally involve a receipt. n/t Adsos Letter Feb 2013 #85

I go for the cash discount every once in awhile. I don't agreee with someone really scamming brewens Feb 2013 #58

The response? "Are you sure this is the good stuff?" Tom Ripley Feb 2013 #62

Legal Tender kenny blankenship Feb 2013 #66

It could be as simple as the fact that she had a negative balance at HER bank.. Ghost in the Machine Feb 2013 #67

NOT JimDandy Feb 2013 #72

Why?? She could have had rubber checks from other clients that bounced.. Ghost in the Machine Feb 2013 #77

I get amazed when people are suspicious of you for wanting a cash transaction. Sadiedog Feb 2013 #73

When shit happens as it has, and people are shoved into marginalized society they create lonestarnot Feb 2013 #74

Seems like an awful lot of people are worried about how other people pay their taxes.... OldDem2012 Feb 2013 #75

If she does a great job, pay her in cash as she asked. MrSlayer Feb 2013 #81

What is your concern here? And what do you want to do? merrily Feb 2013 #82

If you want them to provide the service, LWolf Feb 2013 #89

how about okay? Zax2me Feb 2013 #90

I pay my cleaning lady pipi_k Feb 2013 #93

To be honest... 99Forever Feb 2013 #94

Very interesting and varied responses, thank you. phylny Feb 2013 #97

I'm not the IRS Travis_0004 Mar 2013 #109

I have been stiffed by checks, usually rich people, so dont assume it has anything to do with taxes larkrake Mar 2013 #101

I'm sure there are lots of house cleaning services that follow the law and do a good job ThomThom Mar 2013 #102

Your call itsrobert Mar 2013 #104

I would ann--- Mar 2013 #106

Are you getting a receipt for services rendered? Texasgal Mar 2013 #107

If you get a receipt, why do you care? Unless it is inconvenient. zonkers Mar 2013 #110

That's her business, not yours. longship Mar 2013 #112

My dentist gives me a discount if I pay her in cash (not checks, not credit card but greenbacks) I Raine Mar 2013 #115

just pay her cash, let her worry about her taxes putitinD Mar 2013 #116

Interesting question. wickerwoman Mar 2013 #117

Maybe she doesn't have a bank account Live and Learn Mar 2013 #118

I have clients who always pay in cash. Should I suspect they are tax cheats? riderinthestorm Mar 2013 #119

If you ever pay for a service in cash get a receipt TorchTheWitch Mar 2013 #120

Who cares if she cheats the government? Ter Mar 2013 #122

Yadira Iwillnevergiveup Mar 2013 #125