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ljschleif
Returning Member

What is the diff between filing W-2 & Self-Employed as far as Fed Tax Due? Did the calc with W2 and it showed less due than when I started doing self-employed. Thanks!

 
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What is the diff between filing W-2 & Self-Employed as far as Fed Tax Due? Did the calc with W2 and it showed less due than when I started doing self-employed. Thanks!

The difference between entering W-2 income and self-employment income is that if you have a W-2,  an employer has withheld federal and state tax, and Social Security and Medicare.  When you are self-employed, you pay all of that yourself at tax time or during the year by paying estimated quarterly tax payments.

 

You do not have a "choice"  of which kind of income to enter.  You enter what you received--whether you got a W-2 from an employer or a 1099Misc for self-employment--or even if you received cash as an independent contractor.

 

https://ttlc.intuit.com/questions/2584365-am-i-an-employee-or-an-independent-contractor

https://ttlc.intuit.com/questions/2903027-how-do-i-report-income-from-self-employment

https://ttlc.intuit.com/community/self-employed/help/what-is-the-self-employment-tax/00/25922

https://ttlc.intuit.com/questions/2902389-why-am-i-paying-self-employment-tax

https://ttlc.intuit.com/questions/2893577-does-a-1099-misc-mean-i-m-self-employed

 

 

**Disclaimer: Every effort has been made to offer the most correct information possible. The poster disclaims any legal responsibility for the accuracy of the information that is contained in this post.**

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