Why do Parents ask for my Federal ID number?

June 8, 2025

Let’s play a quick game of “What Now?”

You just finished cleaning up 347 paintbrushes from your studio’s Tuesday afternoon glitter-and-chaos extravaganza when a smiling parent walks up and says:
“Hey! Can I get your federal ID number?”

Cue the internal panic.
Do they work for the IRS? Are they trying to report me? Did I accidentally start a crime ring with my summer camp?

Take a breath, studio superstar. Because what they’re really asking for...
is proof that you’re amazing.

🖌️ Parents Want a Tax Break (and You’re the Golden Ticket)

When a parent asks for your Federal ID number, it’s not because they’re trying to hack your Etsy account.
It’s because your summer camp qualifies as dependent care — a real, honest-to-goodness tax credit opportunity.

That’s right. Your art studio or summer class is technically a form of childcare (and in many cases, therapy in disguise — but we digress).
If their kid was in your care while they were at work, that class might qualify for the Child and Dependent Care Credit.

📄 Here’s What You Need to Do (Before the 5th “Just Checking” Email)

✅ Step 1: Be ready with a standard tax receipt

This isn’t your average sticky-note scribble.
Put together a clean doc with:

  • Your legal business name
  • Studio address
  • Federal ID number
  • And the amount paid for the qualifying classes

Boom. Tax magic.

✅ Step 2: Only include qualifying care

Classes count if the parent wasn’t there and was using the time to work.
If they were painting next to little Emma during that clay unicorn class, it doesn’t count.

📬 Turn This Into a Marketing Power Move

Here’s where we go next-level boss mode:

Send every parent from last summer a tax letterby the end of January.
Along with it? A shiny flyer or email of your upcoming summer camp schedule. Remind them that not only did their kid have a blast, but they might get some money back AND there’s a new camp coming up.

🤯 Right?! It’s a tax receipt and a re-enrollment nudge.

And if you're really running the studio like the CEO you are, you’ll pre-design those next summer camp materials in September during your slow season.

🧠 Pro Tip: Systems = Sanity

Every time you automate a tax doc, pre-plan your camp calendar, or prep forms early, you’re building a studio that supports your income and your lifestyle.

That’s what we do at pyop accounting.

We help creative entrepreneurs:

  • Bake financial clarity into the DNA of their business
  • Support thriving, profitable retail & event-driven studios
  • And never again panic when someone asks for their federal ID at the front desk

🎯 Bottom Line: You’re Not Just an Artist — You’re a Legit Business Owner

So yes, parents ask for your Federal ID number.
But what they’re really asking is:

“Can you make my life easier and save me money?”

The answer is YES.
And with pyop accounting on your side, the answer is always “yes — with receipts.”