Ewww I ABSOLUTLEY HATE spiders!! They scare the bejeebies out of me!! Keep in mind, I have never even seen such a big one in my life!!
I would definitely be removing it or move. lol Can it go inside your house? I would be very cautious where your baby goes!! That spiders venom could be hazardous to a small yorkie!! Looking at the pictures, I don't think yours is a wolf spider...not hairy enough. Good luck!!