Help with hiring family members tax benefits

[Elvin William]

Hello, I'm looking at hiring my in laws for my LLC rental property business. Question is, how can I take the step and how do I do that? Also, do I really get tax benefits for hiring my family member. Can I do write off on that income as business expenses? What's the pro and cons on doing this? Is this smart doing this? Thanks.

[Jason Watson]

Are your in-laws contractors? Or are they going to be helping out here and there?

Certainly paying them a wage or fee reduces your rental income... but then they have to recognize that income (perhaps at a lower tax rate?).

What specifically will they be doing? What do they do now? Are they expecting to pick up an income tax liability from your payments?