What can i deduct when i have a 1099 but for a specific thing?

[rsinick]

I helped a company temporarily (a few weeks) and received a 1099 for the time. Over those weeks, I really only worked maybe 5-10 hrs total. What deductions can I truely take and is it even worth it if they'll still be less than the 12k standard deduction?

[DawnC]

You can deduct business related expenses to lower your 1099 (self-employment) income, in addition to the standard deduction.   Business expenses and deducted from business income, and then you get your standard deduction, so yes, it is worth it.   You can't deduct your time, but If it's directly related to the work you do, you can deduct it as an expense. Click the link for a list of common expenses most self-employed taxpayers will want to review.

If the expense is something also used for personal reasons (for example, mobile phones and internet service), then only the proportion used in business is allowed as an expense.  

Where do I enter these expenses?

[VolvoGirl]

Even though it might be less than the Standard Deduction and then not taxable you will still owe the self employment tax on it.  

You pay Self Employment tax (Scheduled SE) on a Net Profit of $400 or more on Schedule C in addition to regular income tax on it.   You pay 15.3% SE tax on 92.35% of your Net Profit (If it is greater than $400).  The 15.3% self employed SE Tax is to pay both the employer part and employee part of Social Security and Medicare.  So you get social security credit for it when you retire.  The Self Employment tax is in addition to any regular income tax on it.

[rsinick]

Could I deduct my phone bill for the entire time I was contracted to them? Or only for the few hours that I was helping? Same thing for gas how do I calculate mileage for driving to and from to meet these people during the time I was working for them? Is it at the federal rate per mileage

[rsinick]

So adding it to my tax return won't automatically take that out? Do I need to figure out how to fill out this other tax form before I turn in my taxes? Thanks

[DawnC]

You can use any reasonable method to allocate your expenses.   If 30 percent of your time on the phone is spent on business, you could legitimately deduct 30 percent of your phone bill. 

You can take either the standard mileage rate or actual costs.   TurboTax will walk you through all the necessary forms.   You have to pay the Self-Employments taxes anyway.  The more business-related expenses you deduct, the lower your self-employment tax and income tax.   

Quick Links for the Self-employed and Gig Workers