Daycare Worker 1099-Nec

griffin35 — Wed, 11 Feb 2026 08:19:20 GMT

I was previously employed full-time at a daycare, classified as independent contractor and given a 1099-NEC. When I enter my 1099 info into TurboTax, it wants a business code as well as business address and business name? Turbo Tax is flagging my entry and saying "this income should be reported on a W-2 not a 1099-NEC" and prompting me to fill out an SS-8 and some other form due to being "misclassified."

While I do understand the nature of this misclassification and plan to remedy it later, I just wanted to be able to file and submit what I need to by Monday. Are there any tips to get by this "error" and just file?

Re: Daycare Worker 1099-Nec

VolvoGirl — Fri, 12 Apr 2024 06:20:50 GMT

A 1099NEC is for self employment income. Yes you are the owner of your own self employment business. You are in business for yourself. Use your own info. The people or company that pays you is your customer or client. You need to fill out schedule C for self employment business income. You are considered to have your own business for it. YOU are the business.

To report your self employment income you will fill out schedule C in your personal 1040 tax return and pay SE self employment Tax. Here's a Schedule C https://www.irs.gov/pub/irs-pdf/f1040sc.pdf

You can enter Self Employment Income into Online Deluxe but if you have any expenses you will have to upgrade to Premium or use any of the Desktop CD/Download programs.

How to enter self employment income

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

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 23. The SE tax is in addition to your regular income tax on the net profit.

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

topic Daycare Worker 1099-Nec in Self employed

Daycare Worker 1099-Nec

Re: Daycare Worker 1099-Nec