How does self employment tax work? I was reading something about it, but do not entirely understand it.
Would I have to file next year even if it was only few hundred dollars? (do not know how much I'll make the next couple months)
Also, how much in tax %? I do not want to get in trouble with IRS. My grandma got audited by them for stupid reasons that were not her fault.
SE tax is what you have to pay if you work for yourself. It's like Social Security. I can't remember what the % is - I think it depends on how much you made.
What would I be considered sole proprietor, or a trade/business?
I am reading this: asks what type
http://www.irs.gov/businesses/small/art … 46,00.html
They just dropped the SE tax 2% so it's now 13.3%. Also, you can now deduct your insurance premiums before calculating your SE tax.
13? Oh, I was just reading something and it said 15 %. Outdated article I guess. Thanks for saying.
You may also not even make enough money to pay the SE tax. I can't remember what the threshold is, but there have been years where I haven't made enough money to pay it.
BTW, you also have to make a certain level of income before you're allowed to deduct insurance. I didn't make enough last year to do so, even though I have in past years, so there's a threshold for that too.
You can probably just visit your state's website and the IRS website to get all of the info you need for paying state and federal taxes. Or you should spend the bucks for an accountant.
The first year you are self-employed can be confusing, so a pro is a good idea to get off on sound ground.
Yeah, 2011 will be my first "full year" of SE. I think I need to of made $600+, but I am not sure if that means just this year, or part of next year too.
Best advice ever, Nelle. Can you drop me a line when you get a sec? My computer died along with all of my contacts. I want to run something by you. And Happy Holidays!
by Randy Godwin 5 months ago
That Spanky, what a card he is! Did anyone with a lick of sense suspect his tax cuts would benefit the average citizen? Check it out, pilgrims! https://www.msn.com/en-us/money/compani … mp;ffid=gz
by Justin McMarshall 7 years ago
What is your view on poverty?Evryone has an idea what "poor" is can you describe the worst experience you or someone you knew had being "poor"?
by Stacie L 7 years ago
WASHINGTON (AP) — President Barack Obama is expected to seek a new base tax rate for the wealthy to ensure that millionaires pay at least at the same percentage as middle income taxpayers.A White House official said the proposal would be included in the president's proposal for long term deficit...
by ngureco 7 years ago
Can A Self Employed Person Collect Unemployment Benefits?
by Susie Lehto 15 months ago
Trey Gowdy posted this article link on Facebook minutes ago. It is the beginning of the end of Obamacare and a legacy.* http://thirdestatenewsgroup.com/breakin … d-to-know/The repeal legislation will go to the Senate next. A complete repeal is expected according to the article, and...
Copyright © 2018 HubPages Inc. and respective owners. Other product and company names shown may be trademarks of their respective owners. HubPages® is a registered Service Mark of HubPages, Inc. HubPages and Hubbers (authors) may earn revenue on this page based on affiliate relationships and advertisements with partners including Amazon, Google, and others.
|HubPages Device ID||This is used to identify particular browsers or devices when the access the service, and is used for security reasons.|
|Login||This is necessary to sign in to the HubPages Service.|
|HubPages Traffic Pixel||This is used to collect data on traffic to articles and other pages on our site. Unless you are signed in to a HubPages account, all personally identifiable information is anonymized.|
|Remarketing Pixels||We may use remarketing pixels from advertising networks such as Google AdWords, Bing Ads, and Facebook in order to advertise the HubPages Service to people that have visited our sites.|
|Conversion Tracking Pixels||We may use conversion tracking pixels from advertising networks such as Google AdWords, Bing Ads, and Facebook in order to identify when an advertisement has successfully resulted in the desired action, such as signing up for the HubPages Service or publishing an article on the HubPages Service.|