Hi there, I unfortunately am rushed to finish my taxes since I have to fly to Florida Monday because my dad is in grave condition in hospital. So I may not be reading things right or thinking too straight.
Background:
My wife is working on her Masters. Due to life issues, she hasn't finished her paper. But a former Economics teacher reached out to her last year and offered her the chance to work on editing/writing on a textbook's classroom presentation slides and teaching guild. I forgot what she was paid an hour, but at the end, between September and end of the year, she earned 3,900. She continued on the single project until it was completed at the end of February (and was given a 2K? bonus if I recall for completion on time.
She received a 100-NEC from a company in NJ. We are Westchester, NY residents. The work she was doing was for a HS program in a whole bunch of Eastern European/Baltic/former-Bloc countries, so I can count my lucky stars the employer was here in the US 🙂
She is a homemaker and does not do this for a living. Once she gets her Masters (we hope) she will look at entering the workforce. She doesn't have "a business" and is not normally "self-employed".
I use TurboTax Deluxe and the only part I wasn't sure was the:
"Does one of these uncommon situations apply?
...
This is not money earned as an employee or self-employed individual, it is from a sporadic activity or hobby (this is not common).
..."
As far as I know, the 1099-NEC means she has to pay the Federal/NYS taxes after the fact (no withholding was done) and, if I understand: Social Security tax normallly paid by employee, Social Security tax normally paid b the employer, and Medicare tax (no idea if this also has 2 parts)
Does any of that change if this was a "one off" thing and not a business or job she is holding? I mean, it WAS a "job" cos they reached out and offered her money to do the editing. But I wanted to be clear in case the "hobby" thing was an option that meant we wouldn't need to pay the "employer" parts of the SSI/Medicare that self-employed folks do. But I know nothing so it is probaby a dumb question...
