i have a 1099 ,self-employed and i need to know how much should i take out of my check for taxes?
i barely started working last week 3/8/07
2007-03-13 08:17:00 · 8 answers · asked by newbie 1 in Pets ➔ Fish
"i know i messed up on the category, i apologize"
2007-03-13 08:51:03 · update #1
A professional tax preparer may sound like money down the drain, but they know all the deductions and credits that you can take, which for a self-employed tax payer can be thousands of dollars.
SE (self employment tax), for social security and medicare, and all that fun stuff... is around sixteen percent.
When it's all said and done, you need to set aside right around fifty percent of your earnings for federal tax, state tax, SE tax, and everything else.
Keep in mind that taxes need to be filed quarterly, not yearly, if you're self employed and expect to owe more than $1000 in taxes.
2007-03-13 08:34:16 · answer #1 · answered by Theresa A 6 · 0⤊ 0⤋
Are you looking for state or federal tax?
If you are looking for federal tax information go to the IRS.gov website and look at the 2006 tax table and find the amount you are going to make for the year (always make a generous estimate). After finding that amount scroll to the left to find your filing status- i.e. single, head of household etc. This tax table will tell you exactly how much you should pay in this year. You should definitley be sending in quarterly tax payments to avoid complications in the furture- you can break up whatever is owed for the year into 4 payments- and I would recommend sending in an additional 10% each time- just to be safe. Nobody likes owing money at the end of the year.
If you are looking for state- it's basically the same concept except you will have to find the states web site and tax chart.
Don't use H&R block- those people go through a 2 week class on tax preparation and then are allowed to do taxes? Probably not the expert on such things in a 2 week time frame eh? If you really need help go to a more reputable source such as a CPA office or a family friend that knows info about tax- or you can always email me.
Hope that helps a bit.
2007-03-13 15:37:06 · answer #2 · answered by Nickster 2 · 0⤊ 0⤋
If you are self-employed you don"t get a paycheck unless you are incorporated and take a salary. You will have to file quarterly tax reports and then you will pay depending on how much your business earned in the previous 3 months. Contact a CPA who will set up the paperwork to file.Social Security and medicare taxes have to be paid at a set rate every quarter,not depending on profits but on earnings. You will have to collect state and city sales taxes if you are selling (retail).
2007-03-15 00:56:38 · answer #3 · answered by DAGIM 4 · 0⤊ 0⤋
my mother is self employed in WA...she takes 1/4 (possibly 1/3? but that sounds like alot) out of all she makes to put aside for taxes, but she's known for overkill.
...and you'll probably get better answers outside of the fish section
2007-03-13 15:35:36 · answer #4 · answered by scampyfan 2 · 0⤊ 0⤋
This question doesn't quite fit into the pets category, but I do know that it varies based upon state. You can actually look into the phone book, and call a cpa, they can give you all of the information you need.
2007-03-13 15:21:46 · answer #5 · answered by Law 3 · 0⤊ 0⤋
What does this have to do with fish? I don't think fish really work for a living, so they can't really pay taxes. If they are self-emplyed to do something...I don't know.
2007-03-13 15:49:55 · answer #6 · answered by Becca 5 · 0⤊ 1⤋
i don't think anything
you should ask someone at HR block to be 100% sure. listening to us might get you tied up with IRS!
and plus you might be able to write some stuff off that you used to start your business
2007-03-13 15:22:20 · answer #7 · answered by kioana j 3 · 0⤊ 1⤋
donno... i'll ask my dad, he's self employed too
2007-03-13 15:26:19 · answer #8 · answered by gravilovesfruuba 2 · 0⤊ 1⤋