1099 or W2 for helping relative?

[Allende Hernandez]

Hi guys,

Reading about taxes and ways to keep more money on this side of the road I've realized I should have my wife as an employee/contractor to my company. She normally helps me with some of my investments task like visiting houses, inspecting them, analyzing deals, etc. 

Now, the question is, should I have her under a W2 or a 1099? If I have her under a 1099 my company may save on FICA taxes but then I am passing the buck to her, hurting the household. If I have her under a W2, she gets to keep more but then my company has to pay a bunch of other taxes. 

What makes more sense financially given that it all stays in the same household.

Thank you in advance and Happy Investing!