Do I include in my income payment from a neighbor for intermittent pet sitting?

[beilime]

When my neighbor travels out of town, she asks me to care for her pets and pays me what she deems fit.

[LenaH · Accepted solution]

Yes. You need to enter all of your earnings on your tax returns. This income is considered self-employment income and should be reported on a Schedule C. 

For tax purposes, self-employment income includes any part-time businesses or "side work" performed in which you are in business for yourself, rather than another person. You are also considered self-employed if you engage in business-like activities where you intend to make a profit. This would require TurboTax Home & Business (CD product) or TurboTax Self-Employed (online version). 

For additional information on being self-employed, please see Am I considered self-employed?.

Please follow the steps below to complete your Schedule C:

1. Open your return.
2. Search schedule c with the magnifying glass tool on the top of the page.
3. Go to the Jump to schedule c link in the search results. 
4. Select Yes to the question Did you have any self-employment income or expenses? 
5. Follow the on-screen instructions.