Getting paid privately?

[Jamuhh]

I work for a home health company and my primary patient is going through some funding shifts. It is possible that medicaid may be taken away, so nursing will not be paid for. My patient's mother (pt is a child) says if that happens, she would still really love to have me provide nursing for short periods throughout the week and would pay me the same rate.

Does anyone know the ramifications of this? I know that independent contracting is okay, but what about liability? Would I have to set up a real business to do this? Or can it be done like babysitting?

This may be in the wrong forum, but if anyone knows a better one, please point me in the right direction!

Thanks!

[ceebeejay]

If you do not already, you should have your own Liability Insurance. You need not be incorporated, but you do need to remember that you will have to pay Fed, State, Local, Social Security, and Disability Taxes where they apply when you file your tax return. And, the social Security will be double what you normally pay because you are covering the portion that the employer would normally fund. Keep careful records of money and the care you provide.

[JustBeachyNurse, LPN]

You actually are responsible to pay income taxes quarterly. If you wait until tax return time you could end up owing in fines plus taxes. Check

With a CPA that is familiar working with independent contractors (accountants specialize just like nurses)

[Jamuhh]

Thanks for the responses. I have some things to think about now.

[JustBeachyNurse, LPN]

You may also want to check your employment agreement continuing with a patting that you know only through the agency may be a conflict of interest and cross boundaries. In some areas it could cost you your agency job just trying to help out.

If she's willing to pay the same rate why not just pay the agency ?

[Jamuhh]

Hmm. Good point, BeachyNurse. But the reason all this MAY happen is because mom will be getting paid to take care of her child (via a special program the child is in) instead. She won't need full time nursing then, just a couple hours throughout the week so she can take care of groceries, etc. If she were to pay the agency, it would cost more, because they have to make a profit.

I'll be sure to check into that - thanks for the tip!

[CloudySue]

In the long run, it might not be worth it to you anyway. Short shifts really cut into the day and can make it tricky to fit in a full shift in somewhere else.