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Level 2
posted Jun 4, 2019 1:17:33 PM

As a statutory employee I receive W2 and file Schedule UE for business expenses. I have (2) employees and I pay wages. Can I expense on Schedule UE?

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1 Best answer
New Member
Jun 4, 2019 1:17:35 PM

Yes, as a statutory employee, you can deduct all of your expenses on schedule C, including paying employees (wages + employee benefits). TurboTax will account for this properly. 

When you enter your W-2, be sure to check the Statutory employee box (and, of course, it must be checked on your W-2). When you go to the Self-employed Income & Expense section, setup your work as a business. In the income section, you'll be able to select you W-2 to apply to income. 

Under the Income & expense summary screen, you'll see expense categories for employee wages and employee benefits.

2 Replies
New Member
Jun 4, 2019 1:17:35 PM

Yes, as a statutory employee, you can deduct all of your expenses on schedule C, including paying employees (wages + employee benefits). TurboTax will account for this properly. 

When you enter your W-2, be sure to check the Statutory employee box (and, of course, it must be checked on your W-2). When you go to the Self-employed Income & Expense section, setup your work as a business. In the income section, you'll be able to select you W-2 to apply to income. 

Under the Income & expense summary screen, you'll see expense categories for employee wages and employee benefits.

Level 2
Jun 4, 2019 1:17:36 PM

Thank you very much for helping me!   John