KrisD15
Expert Alumni

Self employed

They filled out Form 1099-NEC, so that's what you need to report.

 

Since you earned income, and you are not an employee of the school, you may need to report the income as Self-Employment income and pay Self-Employment tax. Self-Employment is the FICA an employer withholds and pays for an employee. 

 

You could also choose "Hobby Income" for the 1099-NEC to bypass the self-employment tax but you would need to show how the task you performed would be considered as "fun" and therefore a hobby if the IRS challenged it. If this was something that is already your field of expertise, it could be viewed as "moon-lighting" and therefore self-employment. 

 

The choice between issuing Form 1099-NEC (Non-Employee Compensation) or Form 1099-MISC (Miscellaneous Income) is determined by the person that issues the form. 

You can either enter the 1099-NEC or ask the Payer to replace that form with a 1099-MISC. 

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