She did not get wages and was not an employee. She was an independent contractor and got self employment income. Actually on 1,200 self employment income she would owe $170 SE tax. Did she write off any expenses against the 1,200?
Self Employment tax (Scheduled SE) is automatically generated if a person has $400 or more of net profit from self-employment. You pay 15.3% SE tax on 92.35% of your Net Profit greater than $400. The 15.3% self employed SE Tax is to pay both the employer part and employee part of Social Security and Medicare. So you get social security credit for it when you retire.
$1,200 x .9235 = $1,108
$1,108 x .153 = $170
