As landlords we often can use an extra hand around our rental properties so why not employ your children or grandchildren to get some of those items off your To-Do list? I suggest you speak with your CPA to validate if the following statements will work for your business. As a landlord, you should consider making your business a family affair and employ your children/grandchildren to benefit from the many different tax breaks available to you.
Landlording Jobs Children Can Do
First, lets talk about what kind of tasks your children can do to assist in your landlording business. This depends on their age. Younger kids (under age 14) can do such tasks as sweeping walkways, clearing snow, watering plants, raking leaves, filing papers in the office, etc. Older children (ages 14-18) can do such tasks as washing windows, painting during a vacancy, cleaning a unit, power wash the exterior of the property, cleaning the leaves from the gutters, gardening and mowing lawns, and even handle some light office work like sorting papers for bookkeeping. If your older aged children are proficient on the computer, they can create forms for the business. Consider personalizing forms like Move IN/OUT Itemized Statements or Maintenance and Repair Logs to keep in your files when work has been completed on a unit.
It may be a stretch, but I believe your child or grandchild can be paid for modeling in your marketing as well. Marketing is not only for when you have a vacancy, you can pay modeling fees for websites and flyers as well.
Tax Benefits of Employing Your Children
Tax benefits of employing your child come about in a couple different ways. By paying your child, you reduce your self-employment taxable income when it comes time to file your income taxes. Along those same lines, you are exempt from paying payroll taxes (Social Security, FICA, & FUTA) for your child, just so long as that child is under the age of 18.