how to enter self employed tips?

liuyumei1031 · ‎February 12, 2026

DawnC

They have to be reported on a 1099 in order to deduct them. If they are reported on 1099, TurboTax will ask you when you enter the 1099, whether or not any of the income is tips or overtime. How to enter self-employment income. You won't be asked about tips or overtime if your self-employed income comes from only cash or checks (non-1099 income).

**Say "Thanks" by clicking the thumb icon in a post
**Mark the post that answers your question by clicking on "Mark as Best Answer"

Raphnessnt

Can someone please reference IRS rule/regulation that states it "HAS TO BE ON A 1099 form. I am not able to location this information. I do taxes for a Salon/Hairdresser.

MarilynG1

If the hairdresser is employed by a salon, they can use Form 4137 to report tips, but it still has to be linked to their W-2 or 1099 form reporting income. A self-employed hairdresser can report income received on a 1099-K with a personal record of tips to report tips. Here's more detailed info from the IRS.

@Raphnessnt

**Say "Thanks" by clicking the thumb icon in a post
**Mark the post that answers your question by clicking on "Mark as Best Answer"