I am a 22 year old college student that is babysitting for one family this summer for four weeks. I will only make about $1110. Since this is less than $1800, the parents do not have to with hold social security and Medicare taxes. I will also not make more than $1000 in the quarters that I will be babysitting, so they do not have to pay federal unemployment taxes.

Neither myself nor the parents know how to record this. What form do I need from them? W-2? 1099-MISC? I'm pretty sure they don't need to give me a W-2 since they are not withholding taxes.

Also, how do I report this on my 2012 taxes? I think I'm technically a household employee. Can I just record it on line 21, or add it to my husband's income on line 7? Or would I have to file schedules C-EZ and SE and pay self employment tax? I don't have a babysitting business, this is just a random job to keep me from being bored.

If I do have to file schedules C-EZ and SE, I would have to pay self employment tax of 13.3%. If the taxes were to be withheld from my weekly checks, I would only have to pay my share of 5.65% and they would pay the rest, 7.65% Can I ask the parents to just withhold the taxes since it is a lesser amount than the self employment tax- and then they would have to give me a W-2.

“I am a 22 year old college student that is babysitting for one family this summer for four weeks. I will only make about $1110. Since this is less than $1800, the parents do not have to with hold social security and Medicare taxes.”---> Since your ER pays you, the employee, less than $1,800 in cash wages in 2012, none of the wages your ER pays you are social security and Medicare wages(even if you are over 18 years old) and neither your ER nor you will owe social security or Medicare tax on those wages. However, as long as you are treated as an EE receiving a W2 from the ER, then your ER must withhold FICA taxes for you. As your ER hires you who are 21 or older to perform household work for him, your ER has to pay Social Security tax on their wages. ALSO, You can treat federal income tax as an option. The IRS does not require your ER to deduct federal income tax from your wages. If you wish to have the withholding, however, your ER can make the deduction.
“I will also not make more than $1000 in the quarters that I will be babysitting, so they do not have to pay federal unemployment taxes.”---->Correct as long as your ER paid cash wages to (a) household employee(s) totaling more than $1,000 in any calendar quarter during the calendar year or the prior year, your ER generally must pay FUTA tax on the first $7,000 of cash wages
“Neither myself nor the parents know how to record this. What form do I need from them? W-2? 1099-MISC?”---->It depends; if your ER must withhold and pay social security and Medicare taxes, or if your ER withhold Federal income tax, your ER will need to complete Form W-2and you must report the income on W2 on 1040 line 7 . if you receive a 1099 , then you need to report it on1040 line 21.
“ I'm pretty sure they don't need to give me a W-2 since they are not withholding taxes. Also, how do I report this on my 2012 taxes?”---->As long as you receive a W2 from your ER, then you need to report it on 1040 line 7 as wages/salries. If you receive a 1099 from the ER, then, you need to report it on 1040 line 21 as other income.
“ I think I'm technically a household employee. Can I just record it on line 21, or add it to my husband's income on line 7? “---->Then, unless you receive a 1099 form your ER, you need to report it on 1040 line 7 as wages, salaries or etc.
“Or would I have to file schedules C-EZ and SE and pay self employment tax? I don't have a babysitting business, this is just a random job to keep me from being bored.”--->Then, you do not need to fiel Sch C/Sch C-EZ as you are NOT an independent contractor. You report your babysitting income on 1040 line 21 other income.
“If I do have to file schedules C-EZ and SE, I would have to pay self employment tax of 13.3%”--->As described above, UNLESS youa re an IC, you are NOT subject to self employment taxes to the IRS,OK??
.”If the taxes were to be withheld from my weekly checks, I would only have to pay my share of 5.65% and they would pay the rest, 7.65% Can I ask the parents to just withhold the taxes since it is a lesser amount than the self employment tax- and then they would have to give me a W-2.”--->Correct your share of FICA Tax is 5.65%, NOT 7.65% for 2012(the EE's Soc Sec withholding rate remains reduced at 4.2% at least thru 2012). Then you can request your ER to withhold FICA taxes from your paychecks.Your ER does not need to withhold federal income tax from your household wages. But if you asks your ER to withhold it, your ER can.