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Should a regular employee receive a 1099-Misc for a year end safety bonus or longevity bonus for time spent as an employee?
I am not self employed or acting as a contractor. I am a company truck driver, driving a company owned truck, not my truck, not my company. At the end of the year I was paid a "Safety/Longevity Bonus" because I had no accidents or damage to any equipment. The amount paid was entered in box 3 "other income" of the 1099-Misc.
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Should a regular employee receive a 1099-Misc for a year end safety bonus or longevity bonus for time spent as an employee?
It's common that employers issue a 1099-MISC for awards. This way no employment taxes are withheld.
You can enter the 1099-MISC in TurboTax as "Other Common Income," which is reported on line 21 of the 1040 and will not generate SE tax. Please use the following steps:
- Click on Federal Taxes > Wages & Income. [In TT Self-Employed: Personal > Personal Income > I'll choose what I work on.]
- Scroll down to the Other Common Income section.
- Click on the Start/Revisit box next Form 1099-MISC. [See Screenshot #1, below.]
- On the screen Did you get a 1099-MISC? click on the Yes button. [Screenshot #2]
- On the next screen, Let's get
the info from your 1099-MISC, enter the information from the
1099-MISC.
[Screenshot #3] - On the following screens, answer the following questions:
- Did it involve work that's like your main job? No.
- You got it in 2016
- No, it didn't involve an intent to earn money
7. Continue through the rest of the interview screens. The income will appear on line 21 of form 1040 (Other Income).
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