The Kid Payroll Playbook
A step-by-step guide on how to legally hire your child, pay them tax-free wages, funnel that earned income into a Roth IRA that can grow for decades tax free, and deduct their salaries from your business income. Help give your child a head start with a tax-free nest egg.
✅ Lower your family’s overall tax bill using existing IRS + California rules
✅ Create real earned income that can qualify for a Roth IRA
✅ Follow a clear, documented process you can defend in an audit
One-time payment: $29.99
Instant download (PDF + checklists)
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What This Is
Family Tax Playbook is education-focused content for business owners who want to use family employment rules correctly:
• Hire minor children as real employees
• Pay reasonable, documented wages for real work
• Run W-2 payroll and file the right forms
• Build clean documentation (“audit binder”)
• Use earned income to fund a child Roth IRA
We focus on California + federal implementation: payroll setup, filings, documentation, and audit defense.
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How the Strategy Works (High-Level)
Step 1 — Choose the right structure
We focus on structures where rules are generally most favorable.
Step 2 — Create a real job for your child
Step 3 — Pay reasonable wages & run payroll
W-2 payroll, documentation, and required IRS/EDD filings.
Step 4 — Keep wages within thresholds where possible
Structure wages so the child’s income tax is often minimized (sometimes to zero), depending on the facts and current-year thresholds.
Step 5 — Fund a Roth IRA
Because the income is earned, your child can contribute up to the lesser of their wages or the annual IRA limit. Do this every year and the money will compound like crazy!! TAX FREE!
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What You’ll Learn Inside
1) The Legal Framework
How federal family-employee rules work and how they apply to common small-business structures.
2) Designing the Job & Setting Pay
How to choose defensible roles, set reasonable wages, and avoid common red flags.
3) Payroll & Paperwork (Step-by-Step)
• Federal onboarding basics
• California EDD setup and key filings
• Payroll mechanics aligned with common family-employee exemptions (when applicable)
4) Quarterly & Annual Filing Calendar
A simple checklist of what to file and when.
5) Roth IRA Mechanics & Growth Example
How to calculate the max Roth contribution each year, plus illustrative growth examples.
6) Audit Defense & Documentation
A clean audit binder framework: job descriptions, photos, time logs, proof of business purpose, and recordkeeping.
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What You Get
📘 The Kid Payroll Playbook (PDF) — full manual
📄 Annual Checklist — print-and-follow checklist
🗂 Audit Defense File Structure — recommended folder structure + what to save
(Coming later: optional Pro templates pack.)
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Who This Is For Ideal for:
• Parents who want to give their children a head start
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Important Notes & Disclaimers
• Educational only; not tax, legal, or investment advice.
• Laws and thresholds change; confirm current-year rules.
• You are responsible for compliance and should work with a qualified professional to implement any strategy described.