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posted Jun 1, 2019 11:45:52 AM

My wife started watching a child for a friend. We didn't get a 1099 from this friend, payment is based on mutually agreed upon hours and wages. How do I report this?

Total income from this seems to only amount to 300-400 per month since it is only semi-regular care.

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1 Best answer
Level 3
Jun 1, 2019 11:45:54 AM

The IRS rules state that if you made more than $400 in net self-employment earnings you must file a return. 

If you did not receive a 1099 from your friend, you would still have an obligation to report that income on IRS form Schedule C. 

To report it you would file as a self-employed taxpayer . You would need to total the amount of income received along with the amount of expenses you incurred in order to provide the services to your friend. TurboTax would walk you through everything you need in order to report your self-employed earnings (or loss if applicable).  Please see the link below which would explain in more detail the process of filing as a self-employed taxpayer.

https://turbotax.intuit.com/tax-tips/self-employment-taxes/-what-is-a-schedule-c-irs-form/L7v0iDelI 

1 Replies
Level 3
Jun 1, 2019 11:45:54 AM

The IRS rules state that if you made more than $400 in net self-employment earnings you must file a return. 

If you did not receive a 1099 from your friend, you would still have an obligation to report that income on IRS form Schedule C. 

To report it you would file as a self-employed taxpayer . You would need to total the amount of income received along with the amount of expenses you incurred in order to provide the services to your friend. TurboTax would walk you through everything you need in order to report your self-employed earnings (or loss if applicable).  Please see the link below which would explain in more detail the process of filing as a self-employed taxpayer.

https://turbotax.intuit.com/tax-tips/self-employment-taxes/-what-is-a-schedule-c-irs-form/L7v0iDelI