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New Member
posted May 31, 2019 4:59:18 PM

My employer paid me cash all year, and now I don't know what to do. Is it possible to become an independent contractor now to report 2015's income? Or is it too late?

A little more information: This is a nanny job, in the family's home. The parent was supposed to set me up for paying taxes but never did, and eventually I forgot about it. I know I should have known better... but anyway, now it's close to time to file for 2015 and I don't know what to do. The amount received from that family is about $20,000. I started another job in September and I will have a W2 from them. 

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1 Best answer
Alumni
May 31, 2019 4:59:28 PM

Form 8919 is used to report wage income that was incorrectly reported on Form 1099 or not reported. It will require you to pay FICA and Medicare taxes on the payments (remember - you would have paid them anyway) but not the matching employer share. (Sometimes, the easiest solution is to just report it as self-employment income and pay self-employment tax on it. Even if reported as wages, you would still also have to pay the employee’s portion of social security and Medicare.)

If you choose to report as wages, and if this is a bonus, car allowance or other amounts paid to you on Form 1099 and you already receive a Form W-2 from your company, you should use Reason Code H. Reason Code H is "I received a Form W-2 and a Form 1099-MISC from this firm for 2012. The amount on Form 1099-MISC should have been included as wages on Form W-2."  If you use Reason Code H, a Form SS- is not required.

Form 8919's  "Who Must File" instructions include:

You must file Form 8919 if all of the following apply.

  • You performed services for a firm.
  • The firm did not withhold your share of social security and Medicare taxes from your pay.
  • You believe your pay from the firm was not for services as an independent contractor.
  • One of the reasons listed below under Reason codes applies to you.

 



6 Replies
Level 15
May 31, 2019 4:59:20 PM

Is your employer going to issue a 1099Misc to you?  Did you keep good records for yourself?

New Member
May 31, 2019 4:59:21 PM

I don't know. It's a nanny job... I was paid the same salary amount every week so figuring that out is easy even though I didn't write it down. The mom said she would get around to getting me on the books but it never happened and now I'm trying to figure out what to do.

New Member
May 31, 2019 4:59:23 PM

I could ask for the 1099 misc but if that costs them too I'm not sure if they'll do it.

Level 15
May 31, 2019 4:59:25 PM

Did you work in the child's home?

New Member
May 31, 2019 4:59:26 PM

Yes.

Alumni
May 31, 2019 4:59:28 PM

Form 8919 is used to report wage income that was incorrectly reported on Form 1099 or not reported. It will require you to pay FICA and Medicare taxes on the payments (remember - you would have paid them anyway) but not the matching employer share. (Sometimes, the easiest solution is to just report it as self-employment income and pay self-employment tax on it. Even if reported as wages, you would still also have to pay the employee’s portion of social security and Medicare.)

If you choose to report as wages, and if this is a bonus, car allowance or other amounts paid to you on Form 1099 and you already receive a Form W-2 from your company, you should use Reason Code H. Reason Code H is "I received a Form W-2 and a Form 1099-MISC from this firm for 2012. The amount on Form 1099-MISC should have been included as wages on Form W-2."  If you use Reason Code H, a Form SS- is not required.

Form 8919's  "Who Must File" instructions include:

You must file Form 8919 if all of the following apply.

  • You performed services for a firm.
  • The firm did not withhold your share of social security and Medicare taxes from your pay.
  • You believe your pay from the firm was not for services as an independent contractor.
  • One of the reasons listed below under Reason codes applies to you.