| W-2 & WITHHOLDING FOR UNPAID WAGES
What is the name of your state?CALIFORNIA
I care for an elderly woman in her home for 8 hours a day. I am paid through the county but funding is Federal - Social Security. She is authorized about 40 hours a week in care, and I am paid $10 per hour. Her family, based upon their income, is supposed to pay me the first $600 per month of this. The county pays the rest, but from their portion withholds taxes, etc., for the entire $1600 per month. At the end of the year, they give me a w-2 for the entire $1600, as though they had paid it to me themselves.
The family does not pay me their $600 per month, so I am only actually receiving the other $1000 less taxes on $1600. I have contacted the county agency that pays me, and they told me that they will not reduce withholding, nor the amount reported to the IRS as my income, and their position is that I was paid the entire amount.
Can they do that? Withhold on wages they do not pay, and give me a w-2 certifying that they paid me money they did not? When I reviewed the IRS procedures for employers of in-home health care workers who are subsidized by social security, the instructions state that the employer is to issue a w-2 for the amount they actually paid the worker, and therefore, I presume that the county is to also issue a w-2 for what they actually paid themselves. | 
07-13-2004, 02:43 PM
Linear Mode
