The simple answer is no. Elder caregivers and other domestics are generally considered employees. It does not matter how the employee refers to herself or how you refer to her in an employment contract. You are obligated for all payroll tax filings and remittances. The IRS has reaffirmed this stance twice in 1999.
Overtime is one and one-half times the normal hourly rate.
Live-in employees must be paid for every hour they work but are not automatically entitled to the overtime differential. The state regulations governing who needs to obtain workman's compensation and disability insurance vary. We recommend discussing your local regulations with a licensed insurance broker. USA Today July 1997 Worker's Comp Information 9. You may legally hire a U.S. citizen, an alien lawfully admitted for permanent residence, or an alien with a valid work permit.