You'll need to sign in or create an account to connect with an expert.
Wages that are reported to you on Form W-2 have already been subjected to FICA (Social Security and Medicare) tax withholding.
Self-employment income, reported on Form 1099-MISC, Box 7, has not been subject to FICA tax before you receive it. When you complete Schedule C and determine your net self-employment income, that income will be subject to self-employment tax, which is both the employee's share of FICA and the matching employer's share of FICA. That is to say that net self-employment income, if you have more than $400 in any year, will be taxed at 15.3% for FICA in addition to income tax.
Wages that are reported to you on Form W-2 have already been subjected to FICA (Social Security and Medicare) tax withholding.
Self-employment income, reported on Form 1099-MISC, Box 7, has not been subject to FICA tax before you receive it. When you complete Schedule C and determine your net self-employment income, that income will be subject to self-employment tax, which is both the employee's share of FICA and the matching employer's share of FICA. That is to say that net self-employment income, if you have more than $400 in any year, will be taxed at 15.3% for FICA in addition to income tax.
Still have questions?
Make a postAsk questions and learn more about your taxes and finances.
tklein1668
New Member
cossack38
New Member
jdmaertz13
New Member
mitchden1
Level 3
887e57e8ae63
New Member
Did the information on this page answer your question?
You have clicked a link to a site outside of the TurboTax Community. By clicking "Continue", you will leave the Community and be taken to that site instead.