Where do I input taxable scholarship amounts? I put them under wages and tips, but that skyrocketed my federal balance due to $400. I'm a full-time university student.

[MichaelDC]

How was the scholarship reported to you?

[beccarobb71]

I received it through my Bursar's Office. I didn't receive any other tax forms about my scholarship.

[MichaelDC · Accepted solution]

You may have done it correctly. If so, the scholarship is added to Line 7 of the 1040 under wages. The extra taxes on this added amount should only be 10%-25% depending on the rest of your income. You shouldn't have to pay social security or Medicare tax on this money, so be sure to follow the instructions below for the property entry.

If you have additional questions or details regarding this, please feel free to post in the comments for further clarification.

The steps for entering the scholarship amount not included in your 1098-T into TurboTax is as follows:

• Federal
  
• Wages and Income
• Miscellaneous Income
• Other income not already reported
• Answer Yes to Did you receive any other wages?
• On the screen for Wages Earned as a Household Employee click continue without entering amount in box shown
  
• On the screen for Sick or Disability Pay click continue without entering amount in box shown
• Answer Yes to Did you earn other wages? 
• Choose the option Other on the Enter Source of Other Earned Income screen
• Then you will enter SCH in the description box and the amount
• Click Done

For further information please see IRS PUB 970: https://www.irs.gov/publications/p970/ch01.html#en_US_2014_publink1000178003

https://ttlc.intuit.com/replies/3651222

[beccarobb71]

Thanks, @TurboTaxMichaelDC! I'm only using the free version of TurboTax, so I can't access the Miscellaneous Taxes section. If filling it the right way is only going to save me social security and Medicare (probably less than $60 in savings), upgrading to Deluxe ($60) will cost me more than I'll save. So I think I'll just pay the $400. Thanks for your help!

[MichaelDC]

More than a pleasure. Good Luck!