<prompt> Human: Hello, I am a stay at home mom already and my cousin wants to take her kids out of daycare and pay me to watch them 4 days each week at a rate less than what shes paying the daycare. I love my cousin and could use the money so I agreed. We agreed on a price that would pay me around 800 per month. I really would like to do this the right way, but I am so confused on how to handle this from a tax-perspective. Ive read a lot of conflicting and downright confusing articles online and I feel no more confident that I know what Im doing. From what I understand, I would need to pay quarterly taxes as well as my yearly taxes. Are there any good resources that can help spell this process out?Thank you for reading!  <response>: OP- I do this with various clients, just one child at a time in my home with mine until they are ready for big-kid school.- In Texas, I am required to be listed wtih the state, REGARDLESS of how many kids I watch; its 20 and does NOT require an inspection, but does require background checks etc. This is important because they issue a CHILDCARE PROVIDER number which is used to get the childcare tax credit by the client. - I set aside 30 of each payment for taxes, pay quarterly.- I SEND my clients a little this is how much you paid and link to the childcare tax credit each January along with my EIN, this ensures our numbers match for tax purposes. 