as Dr LJ

[gsh]

Say I do a bit of friendly contracting for someone, and get a few thousand dollars as pay. I'm given a check for X dollars, and neither fed taxes nor social security are taken out. I can figure out how to get this income declared on my 1040 fed return. What do I need to do to make sure my social security and other "payroll" taxes are paid legally?

Comments

[magentametrix.livejournal.com]

Ah, this is something I've had to deal with. I don't know that my answer is the right one, but they haven't come after me yet.
Following questions in TurboTax (regular, not business), I ended up declaring a sole-proprietor business, with my SSN as the EIN, and entering the money there. Form C, or something (if I'd already done mine this year, I'd be more precise). It then adds the taxes and SS I owe into my totals and it all goes in together. Very little extra hassle. Let's hope someone else knows more about this than I do - and confirms that it's this easy!

[cappyhead.livejournal.com]

IANATP (I am not a tax professional) but I agree with this advice. Back when I did additional work on the side, this is exactly what I did, using my SSN as my EIN and Schedule C. I used to do my taxes by hand on paper (old school!) and it still wasn't that hard.

Good luck!

(Edited to change the word "Form" to "Schedule.")

[gsh]

Thank you

[cappyhead.livejournal.com]

I just remembered. You may want to look into the local and state tax ramifications of this income. In Philadelphia I believe I had to file separate city business taxes, which were kind of a pain.

[gsh]

Thank you