My son (25), received a 1099-NEC for 2024 and 2024 from social media. He is mentally challenged, and never has worked a regular job.

[lisashe]

My son has not yet recognized by the state as being mentally handicapped (on the spectrum). However, in 2024, and 2025, twitter had issued him a 1099-NEC. Under $2K for 2024, and just under $6K for 2025. He has never held a regular job, or been issued a W-2. We were told that Instead of having to file all of the docs for a sub contractor, (Schedule C, SE form, etc.), we could put his earnings on the 'other' earnings line of a 1040. Especially because of the amounts, standard deduction, etc. Is this true? TIA! 

[Vanessa A · Accepted solution]

No, that is not true.  The fact that your son is on the spectrum is not considered when it comes to how income is classified.  If he is receiving income from Twitter, then he is either getting this income as a hobby or as self-employment income.  In general content creators are considered self-employed. 

To be considered a hobby, there cannot be an intention to earn income.  If he is intentionally doing things to monetize, then it would not be considered a hobby as there IS an intent to earn money and it is not just for the sheer enjoyment of the hobby.  

Since this is more than $400, he DOES have to report Self-Employment income on Schedule C.  Although it is less than the standard deduction, it is over the $400 reporting threshold for Social Security and Medicare. This means it is subject to the 15.3% Self-Employment tax.  As you noted it is under the federal standard deduction, so he will not have to pay federal taxes on it, just SS and Medicare.  

Also, depending on your state rules, he may have to pay taxes on it to the state as well. 

If you did not file a return for him for 2024, you will need to do so.

Although he is currently well under the limits of what the IRS considers able to partake in Substantial Gainful Activity which for 2026 is $1,690 per month for non-blind individuals,  be aware, if he continues to increase the amount of his earnings on Twitter to an amount that is greater than the IRS considers able to partake in Substantial Gainful Activity, he may not longer be considered totally and permanently disabled, which could mean he would no longer qualify as a qualifying child.  While he is considered disabled, there is no age limit for claiming him for a qualifying child.  But, if he is no longer considered totally and permanently disabled because he is able to partake in substantial gainful activity, then he would no longer be a qualifying child. 

The other category to claiming a dependent is as a Qualifying Relative,  but there is an income limit for that.  For 2025,  that amount is $5,200 but it increases every year.  In reality, if he earns too much that he loses the disabled child status, then he would be earning too much to be a qualifying relative. 

To enter his self-employment income select the following:

1. Federal
2. Income and Expenses
3. Show More next to Self-Employment
4. Start next to Self-Employment
5. Yes, to you have any self-employment income or expenses
6. Enter the type of self-employment work you do and you can select that you use your name for your business
7. Click through a few more screens and you will get to a screen that says "Your XX info"
8. Click Looks good
9. Then you will come to a screen that says Let's enter the income for your business.  It will give you the option of 1099-NEC or Other self-employed income including the 1099K , cash and checks.  Here is where you will enter your 1099
10. If you do not select one, it will not let you enter your income
11. Enter your self-employment income on the next screen
12. Continue and on the next screen click add expenses if there have been expenses incurred in making the content that is STRICTLY for content use (microphone, camera, etc)

* Please note navigation may differ slightly depending on which version of TurboTax you are using*

Also, if he is going to continue to do this, it would be a good idea to pay estimated quarterly taxes to avoid any penalties. 

[lisashe]

Thank you! This is what I thought! I used to do some light accounting decades ago.... I actually had a phone appt with a Turbo expert, and while waiting for the appointment which was made for a few days from the time I made the appt, I used the feature 'speak to an assistant' through Turbo. A PHD called me back, who told me that he teaches economics, sent me a text of one of his nine books (I kid you not). told us to do what I asked about! He said he files about 120 tax files a year for people, and to give him a good review. The only reason I had called in the first place is because I didn't want to have to do all of the sub contractor forms myself ( I am 64, and not as sharp as I used to be), manually for 2024, since it is too late to file online for that tax year. It just did not make sense to me that it would be reported without having to pay into FICA, etc. Thank God I have a small amount of knowledge, and questioned this man's advice! You are a life saver, thank you again!!