Hello!
I apologize if there's a subject like this already- I've tried to look here and on Google and maybe I'm just not wording things correctly or clearly enough so I figured I'd ask here just in case I'm overcomplicating things for myself.
My husband and I file jointly for our taxes. I currently have a part-time job so I have a W2 that he'll be using when he files.
I also run a sole proprietorship LLC for my freelance digital art, and I've kept track of how much I've made, and been sure to set aside 40% of each commission to account for taxes and such. I know there's the self-employment deduction which as I understand is 7.65% (or something similar) of my total income as I don't have an employer in that situation responsible for the other half of my SS/Medicaid?
The real question I have is this: I know I have to fill out a Schedule C to report income and deductions, but how do we account for the LLC income and deductions on the tax return with my having an hourly part-time job with its own W2? I know there is a place for other income (including tips) on the tax return, but would it go there, or elsewhere? Where would the self-employment deduction go on that tax return, if anywhere? Do these questions make any sense?
Feel free to explain in the most simple terms possible, because I really really do not understand tax law at all, and this has hurt my brain for a hot minute now.
Thank you!
