topic Hi All, Is there any Maximum limit on the amount that we can earn as an independent contactor 1099-MISC. Can we work for multiple employees as independent contractor in Get your taxes done using TurboTax

Hi All, Is there any Maximum limit on the amount that we can earn as an independent contactor 1099-MISC. Can we work for multiple employees as independent contractor

saipavan17 — Mon, 28 Dec 2020 19:57:52 GMT

Re: Hi All, Is there any Maximum limit on the amount that we can earn as an independent contactor 1099-MISC. Can we work for multiple employees as independent contractor

VolvoGirl — Mon, 28 Dec 2020 20:02:28 GMT

Max? No max. They are supposed to give you a 1099Misc or the new 1099NEC if they pay you $600 or more. But if they don't give you the 1099 you still need to report all your income. Even if you do get a 1099Misc or 1099NEC you can enter your total income under Cash or General.

Sounds like you are newly independent contractor?

To report your self employment income you will fill out schedule C in your personal 1040 tax return and pay SE self employment Tax. You can enter Self Employment Income into Online Deluxe or Premier but if you have any expenses you will have to upgrade to the Self Employed version. How to enter self employment income

https://ttlc.intuit.com/community/self-employed/help/how-do-i-report-income-from-self-employment/00/26653

For the future, you should use a program like Quicken or QuickBooks to track your income and expenses. There is a QuickBooks Self Employment bundle you can check out which includes one Turbo Tax Online Self Employed return....

http://quickbooks.intuit.com/self-employed

You need to report all your income even if you don't get a 1099Misc. You use your own records. You are considered self employed and have to fill out a schedule C for business income. You use your own name, address and ssn or business name and EIN if you have one. You should say you use the Cash Accounting Method and all income is At Risk.

After it asks if you received any 1099Misc it will ask if you had any income not reported on a 1099Misc. You should be keeping your own records. Just go through the interview and answer the questions. Then you will enter your expenses.

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.

The SE tax is already included in your tax due or reduced your refund. It is on the 1040 Schedule 2 line 4 which goes to 1040 line 15. The SE tax is in addition to your regular income tax on the net profit. You do get to take off the 50% ER portion of the SE tax as an adjustment on 1040 Schedule 1 line 14 which flows to 1040 line 8a. Turbo Tax automatically calculates the SE Tax and Adjustment.

Here is some IRS reading material……

IRS information on Self Employment

http://www.irs.gov/Businesses/Small-Businesses-&-Self-Employed/Self-Employed-Individuals-Tax-Center

Pulication 334, Tax Guide for Small Business

http://www.irs.gov/pub/irs-pdf/p334.pdf

Publication 535 Business Expenses

http://www.irs.gov/pub/irs-pdf/p535.pdf

Re: Hi All, Is there any Maximum limit on the amount that we can earn as an independent contactor 1099-MISC. Can we work for multiple employees as independent contractor

xmasbaby0 — Mon, 28 Dec 2020 20:02:36 GMT

No there is not a maximum amount you can earn on a 1099Misc or 1099NEC. If you are an independent contractor you do not have an employer. You are self-employed and you have a client(s).

https://ttlc.intuit.com/questions/2903027-how-do-i-report-income-from-self-employment

https://ttlc.intuit.com/community/self-employed/help/what-is-the-self-employment-tax/00/25922

https://ttlc.intuit.com/questions/2902389-why-am-i-paying-self-employment-tax

https://ttlc.intuit.com/questions/1901110-do-i-need-to-make-estimated-tax-payments-to-the-irs

https://ttlc.intuit.com/questions/1901340-where-do-i-enter-schedule-c

https://ttlc.intuit.com/questions/3398950-what-self-employed-expenses-can-i-deduct

https://ttlc.intuit.com/questions/2584365-am-i-an-employee-or-an-independent-contractor

Re: Hi All, Is there any Maximum limit on the amount that we can earn as an independent contactor 1099-MISC. Can we work for multiple employees as independent contractor

VolvoGirl — Mon, 28 Dec 2020 20:08:31 GMT

And you said "we"? Independent contractor or self employed is for 1 person. So you can't be a independent contractor if there are 2 or more people. Then you need to be a LLC or Partnership. Are you married? What state?

Here's some IRS info.....

IRS info on Husband & Wife joint venture

http://www.irs.gov/Businesses/Small-Businesses-&-Self-Employed/Election-for-Husband-and-Wife-Unincorporated-Businesses

Husband and wife joint business

http://www.irs.gov/Businesses/Small-Businesses-&-Self-Employed/Husband-and-Wife-Business

And see Schedule C instructions page C-2, Business owned and operated by Spouses

https://www.irs.gov/pub/irs-pdf/i1040sc.pdf

Re: Hi All, Is there any Maximum limit on the amount that we can earn as an independent contactor 1099-MISC. Can we work for multiple employees as independent contractor

saipavan17 — Mon, 28 Dec 2020 20:17:44 GMT

Sorry for confusion . My wife basically she is on H4 EAD . She was working as independent contractor for Company A . Now she got a full time opportunity with Company B . So can she continue to work as independent contractor for Company A while working full time for company B

Re: Hi All, Is there any Maximum limit on the amount that we can earn as an independent contactor 1099-MISC. Can we work for multiple employees as independent contractor

Critter-3 — Mon, 28 Dec 2020 20:21:34 GMT

Of course ... you can have a million clients if you want AND be a waged employee if you want to ... just report all the SE income earned on the Sch C from all SE sources.