Milford chronicle., 1957-05-24
Social Security For
Household Workers
BY MyrOn MilbOuer
(Manager of the Wilmington
Social Security Ofice)

Social Security Ofice)
The Social Security Administra-
tion gets many questions from en-
ployers and employees alike about
old-age and survivors insurance
for workers in private households.
who is covered?" How much is
the taxi" Who pays it?' How
are wages reported?"
Some of the most frequently ask
ed questions were answered in the
first article of this series. Here
are some further questions and the
answers the staff of the Whining
ton Social Security Office at 5O4
West 10th street is daily called on
to give:
Question: am a chauffeur for
a private family and my employer
is deducting "a per cent social
security tax from my cash wages.
For what is the money from these
tax deductions used?
Answer-To pay for the old-age
and survivors insurance benefits
provided for by the Social Security
Act. You are building up rights to
monthly payments for yourself
and family in old-age, monthly pay
ments to your family in case of
your death, or monthly payments
yourself at age so if you become
totally disabled fol- substantial
work.
Question: employ a laundress
in my home one day each week.
Are her services covered under the
Social Security Act?
Answer-It depends on how
much you pay her. If you pay her
$50 or more in a calendar quarter,
yes; if less than $50, no. A cal
endar quarter is a three-mOnth
period starting January 1, April /,
July 1, or October 1. Not only laun-
dresses but also maids, housekeep-
ers, cooks, nursemaids, gardeners,
furnacemen, handymen, Wallets,
chauffeurs, ETC., employed in pri-
vate homes are covered if they re-
ceive cash wages of $50 or more in
a calendar quarter.
Question: am past age 65 and
do housecleaning in a private home
one day each week. Should social
security taxes be deducted from
my wages?
Answer - Social Security taxes
should be deducted if you are paid
$50 or more in cash wages in a
calendar quarter, regardless of
your age. This is also true regard
less of whether or not you are re-
ceiving or are eligible for social
security monthly benefits.
Question-The salary of the part
time gardener at our summer cot
tage is $40 month, but he is paid
only when he comes III for sup
plies. The actual payment may
be $40 in one quarter and 5000 in
another quarter. Are all quarters
covered?
Answer-No. The quarter in
which he was paid $40 is not COW
cred since the $50 per quarter test
was not met. The quarter in which
he was paid 5000 is covered and
tax would apply to the 5000. If you
Day d uOuSeIOlu hOl MI P'O VI
more in cash wages in a calendar
quarter, the tax applies to all cash
wages you pay to that worker III
that quarter, regardless of when
wages were earned.
Question: do laundry in pri-
vate homes, one day each week for
three different employers. Should
all my employers deduct social Sc
curity tax?
Answer-Yes, if each pays you
$50 or more in cash wages in a
calendar quarter.
Question-Are there any excep-
tions to coverage of household
workers under the Social Security
Act?
Answer-If a member of your
family is employed by you to dc
domestice service it is advisable
to ask the District Director of In
ternal Revenue if the services are
covered. Household workers in
farm homes can also be covered
but the method of determining whe-
ther or not they are covered are
not exactly the same as for work
ers in non-farm homes. You should
secure further information from
your social security Office or the
District Office of Internal Reve-
nue..
[ Ouestion-HOw can / be sure
/ should report wages paid to my
| household employees?
Answer - The $50 per quarter
test applies separately to each
household worker you employ. The
taxes apply only to cash wages Tin
cluding carfare if paid in CASH
and not to the value of food, lodg-
ing, clothing, tokens, etc. Cheeks
money orders, etc, are considered
CASH. For further information
you should get in touch with the
Wilmington Social Security Office
at 504 w. 10th street, and ask fol-
a copy of leaflet OASI-21 or secure
a copy of Circular H from the Dis
trict Director of Internal Revenue
| Post Office Ruilding