self employed am i supposed to b paying taxes for s.s. benifits later ??
2007-09-27 06:32:44 · 4 answers · asked by unkbengi 1 in Business & Finance ➔ Taxes ➔ United States
Yes, when you file your income tax return, you'll fill out a schedule SE to calculate your self-employment tax (social security and medicare) on your net self-employment income from schedule C. If you're going to owe $1000 or more total in income and self-employment taxes at the end of the year, you need to make quarterly payments along with filing form 1040ES.
2007-09-27 06:51:59 · answer #1 · answered by Judy 7 · 0⤊ 1⤋
Yes. You report your self-employment income on Form 1040, Schedule SE for social security and medicare.
2007-09-27 13:40:37 · answer #2 · answered by Anonymous · 0⤊ 0⤋
That's the general idea. You calculate your self-employment tax by taking your net self-employment income (generally Schedule C) multiplying it by 92.35% and multiplying that by 15.3%. If you happen to have net self-employment income above $97,500 for 2007 the percentage changes from 15.3% to 2.9% on any net earnings above the $97,500 amount (taxable limit for social security, the 2.9% is the medicare tax, which has no limit).
2007-09-27 13:41:34 · answer #3 · answered by Anonymous · 0⤊ 0⤋
Yes, you even get to pay double as a self employed person. Yay government!
2007-09-27 13:37:08 · answer #4 · answered by Dean 3 · 0⤊ 0⤋