Enter the taxes from Schedule H on the Household employment taxes line of your Form 1040, 1040NR, 1040-SS, or 1041. You do this because these taxes are added to your income taxes.

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How do I file Schedule H?(p1)

File Schedule H with your Form 1040, 1040NR, 1040-SS, or 1041. If you are not filing a 2008 tax return, file Schedule H by itself.

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Do I make a separate payment?(p1)

No. You pay all the taxes to the United States Treasury, even the social security taxes.

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When do I pay?(p1)

Most filers must pay by April 15, 2009.

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How many copies of Form W-3 do I send to the Social Security Administration (SSA)?(p1)

Send one copy of Form W-3 with Copy A of Form(s) W-2 to the SSA, and keep one copy of Form W-3 for your records.

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Important Dates!(p2)

By	You must
February 2, 2009	Give your employee Form W-2.
March 2, 2009 (March 31, 2009, if you file electronically)	Send Copy A of Form W-2 with Form W-3 to the Social Security Administration.
April 15, 2009 (see page H-3 for exceptions)	File Schedule H and pay your household employment taxes with your 2008 tax return.

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The Basics(p2)

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What's New(p2)

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Paid preparers may be required to sign Schedule H.(p2)

Your paid preparer must sign Schedule H in Part IV unless you are attaching Schedule H to form 1040, 1040NR, 1040-SS, or Form 1041. A paid preparer must sign Schedule H and provide the information requested in the Paid Preparer's Use Only section if the preparer was paid to prepare Schedule H and is not your employee. The preparer must give you a copy of the return in addition to the copy to be filed with the IRS.

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Reminder(p2)

If you must file a 2008 Form W-2, Wage and Tax Statement, for any household employee, you must also send Form W-3, Transmittal of Wage and Tax Statement, with Copy A of Form(s) W-2 to the Social Security Administration. You are encouraged to file your Forms W-2 and W-3 electronically. Visit the Social Security website at www.socialsecurity.gov/employer to learn about electronic filing.

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Who Needs To File Schedule H?(p2)

You must file Schedule H (Form 1040) if you answer Yes to any of the questions on lines A, B, or C.

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Only 8 lines for most people.(p2)

Depending on your answers, you may find that you only have to complete lines A, 1 through 4, 6, 8, and 9.

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Did you have a household employee?(p2)

If you hired someone to do household work and you were able to control what work he or she did and how he or she did it, you had a household employee. This is true even if you gave the employee freedom of action. What matters is that you had the right to control the details of how the work was done.

Example.(p2)

You paid Betty Oak to babysit your child and do light housework 4 days a week in your home. Betty followed your specific instructions about household and child care duties. You provided the household equipment and supplies Betty needed to do her work. Betty is your household employee.

Household work is work done in or around your home. Some examples of workers who do household work are:

Babysitters	Drivers	Nannies
Caretakers	Health aides	Private nurses
Cleaning people	Housekeepers	Yard workers

If a worker is your employee, it does not matter whether the work is full or part-time or that you hired the worker through an agency or from a list provided by an agency or association. Also, it does not matter if the wages paid are for work done hourly, daily, weekly, or by the job.

Note.(p2) If a government agency files Schedule H for the worker, you do not need to file it.

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Cash wages.(p2)

Cash wages include wages paid by checks, money orders, etc. Cash wages do not include the value of food, lodging, clothing, or other noncash items you give a household employee.

For 2008, you can generally give your employee transportation benefits such as transit passes worth up to $115 per month without the benefits counting as cash wages. However, the value of benefits over $115 a month is included as wages. See Transportation (Commuting) Benefits in Pub. 15-B, Employer's Tax Guide to Fringe Benefits, for more information.

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Calendar quarter.(p2)

A calendar quarter is January through March, April through June, July through September, or October through December.

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Workers who are not your employees.(p2)

Workers you get from an agency are not your employees if the agency is responsible for who does the work and how it is done. Self-employed workers are also not your employees. A worker is self-employed if only he or she can control how the work is done. A self-employed worker usually provides his or her own tools and offers services to the general public in an independent business.

Example.(p2)

You made an agreement with Paul Brown to care for your lawn. Paul runs a lawn care business and offers his services to the general public. He hires his own helpers and provides his own tools and supplies. Neither Paul nor his helpers are your employees.

For more information, see Pub. 926, Household Employer's
Tax Guide.

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Who Needs To File Form W-2 and Form W-3?(p2)

You must file Form W-2 for each household employee to whom you paid $1,600 or more of cash wages in 2008 that are subject to social security and Medicare taxes. To find out if the wages are subject to these taxes, see the instructions for Schedule H, lines 1 and 3, on page H-4. If the wages are not subject to these taxes but you withheld federal income tax from the wages of any household employee, you must file Form W-2 for that employee.

If you file one or more Forms W-2, you must also file
Form W-3.

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Do You Have an Employer Identification Number (EIN)?(p2)

If you do not have an EIN, see Form SS-4, Application for Employer Identification Number. The Instructions for Form SS-4 explain how you can get an EIN immediately over the internet or by telephone, in 4 business days by fax, or in about 4 weeks if you apply by mail. See How To Get Forms and Publications on page H-7 for details on how to get forms and publications including Form SS-4. Do not use a social security number in place of an EIN.

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Can Your Employee Legally Work in the United States?(p3)

It is unlawful to employ an alien who cannot legally work in the United States. When you hire a household employee to work for you on a regular basis, you and the employee must each complete part of the U.S. Citizenship and Immigration Services (USCIS) Form I-9, Employment Eligibility Verification. The Bureau was formerly called the Immigration and Naturalization Service, or INS. You must verify that the employee is either a U.S. citizen or an alien who can legally work and you must keep Form I-9 for your records. You can get the form and the USCIS Handbook for Employers by calling 1-800-870-3676, or by visiting the USCIS website at
www.uscis.gov.

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What About State Employment Taxes?(p3)

If you employed a household employee in 2008, you probably have to pay contributions to your state unemployment fund for 2008. To find out if you do, contact your state unemployment tax agency right away. See page H-10 for some helpful contact information for each state. You should also find out if you need to pay or collect other state employment taxes or carry workers' compensation insurance.

See the Appendix in Pub. 926 for a complete listing of contact information for state unemployment tax agencies.

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2008 Instructions for Schedule H (Form 1040) Household Employment Taxes

Household Employers(p1)

2008

Here is a list of forms you need to complete:(p1)

No household employees in 2008?(p1)

We have been asked:(p1)

What do I do after I fill in Schedule H?(p1)

How do I file Schedule H?(p1)

Do I make a separate payment?(p1)

When do I pay?(p1)

How many copies of Form W-3 do I send to the Social Security Administration (SSA)?(p1)

Important Dates!(p2)

The Basics(p2)

What's New(p2)

Paid preparers may be required to sign Schedule H.(p2)

Reminder(p2)

Who Needs To File Schedule H?(p2)

Only 8 lines for most people.(p2)

Did you have a household employee?(p2)

Example.(p2)

Cash wages.(p2)

Calendar quarter.(p2)

Workers who are not your employees.(p2)

Example.(p2)

Who Needs To File Form W-2 and Form W-3?(p2)

Do You Have an Employer Identification Number (EIN)?(p2)

Can Your Employee Legally Work in the United States?(p3)

What About State Employment Taxes?(p3)

2008 Instructions for Schedule H (Form 1040)
Household Employment Taxes

Household
Employers(p1)