You would report it on Schedule C as Self-Employment income. To enter in TurboTax:
For more information on self-employment income and expenses see the following TurboTax article:
I tried to find a definition to fit my circumstance and didn't feel that I qualified as a "self employed individual." I'm not trained in finance, it's just an interest of mine and I'm the only family member that has the time to devote to it. I get a check from my parents monthly and in return I take care of daily financial duties and other things that they need help with. I entered it as "misc. income" and gave it a name like "managing family finances" or "managing family affairs." TT didn't seem to balk at that entry...what do you think? Thanks for your help!
You can report this as hobby income or "other reportable income" if you are not doing it to make a profit. That sounds like where you put it.
Tips for taxpayers who make money from a hobby
TurboTax does not audit your return. Just because TurboTax did not "balk" at any entry is no guarantee it's correct. TurboTax will ensure your return is mathematically correct based on the numbers you enter into the boxes. It doesn't know whether you are putting the right numbers in the right boxes, beyond the fact that some boxes have limits due to tax law.
On Schedule 1, Form 10, Line 8z, is "Other income. List type and amount"
Put the annual amount there and say "managing my parents finances"
Then go to Form 1040, line 8 where it says "Other income fromSchedule 1, line 10.
Put that same amount on line 8
Continuing completing your return.
If you have any other questions, please ask,
gary
Not to get to technical, but, David, I would not classify this as self-employment income. I think my "Other Income" is more like what it is. His parents are paying him for a service; he is being a responsible US citizen taxpayer by reporting it to the IRS as income. Only my opinion.
gary