I have a full-time job (W2) and also do contract work (1099) as a side gig. I need to know whether my current approach to taxes is appropriate. At present, I increase my state and federal withholding from my W2 employment to accommodate the additional untaxed 1099 earnings. I do not pay estimated taxes (no quarterly taxes). Instead, I enter both the W2 and 1099 earnings when I file my taxes annually. Is this approach correct or should I be doing something else?
