07/20/2026
Yes, you can hire your child to work in your business.
But “they’re family” is not a tax strategy.
The job still needs to be real.
The work needs to be age-appropriate.
The pay needs to be reasonable.
And the business still has to follow the employment rules that apply to minors.
That is the part most business owners skip.
They hear the strategy online and assume it is as simple as moving money to their child and calling it payroll.
It is not.
State law matters.
The type of work matters.
Documentation matters.
Entity structure matters.
A parent’s sole proprietorship may be treated differently than an S corp or C corp.
Done correctly, this can be a legitimate way to involve your child in the business, teach responsibility, and create earned income.
Done casually, it can become a compliance problem.
Comment FAMILY and we’ll walk through what business owners should review before putting a child on payroll.