Been working as an Independent Contractor

[Evil_T0NY {CLR}]

I have been making gross money as an independent contractor. And I was told, since I didn't have money taken out during the course of me working. That it's like 150 bucks per 1,000 bucks that I had made during the year

Say , if I made 10,000.00 in a year....that's 1,500.00 I owe the govt.

Is this true?

If that's the case, I can't afford to pay it.

[JohnyRico]

Depending on your tax bracket that number is probably pretty low. Safer estimate would be 25%.

[Evil_T0NY {CLR}]

Depending on your tax bracket that number is probably pretty low. Safer estimate would be 25%.

Well, let's say if the tax bracket is from 8K to 32K a year. Those who make 32Ka year can afford to pay the bill

Those on the lower end.....are expected to pay the same from what I hear. I could be wrong.

[Apache Warrior]

They can also penalize you for having to pay to much at the end of the year. If you are self employed you are required to pay estimated taxes every quarter.
Apache

[Evil_T0NY {CLR}]

They can also penalize you for having to pay to much at the end of the year. If you are self employed you are required to pay estimated taxes every quarter.
Apache

I'm not sure what you mean. How would I be penalized? This is my first year (200 of being an independent contractor.

I did the math on Turbo Tax...I owe over a grand in taxes.

I got a 1099-MISC that I just plug those figures in.

[{CLR}geneSW]

If you are an independent contractor could you not be considered a personal business at that point? In which case you would have to file every quarter.....

[JohnyRico]

Mrs. Rico and I spent about 7 hours on taxes today. It was our first year with a rental property and the research to establish a cost basis for the house was insane. We were scraping together cancelled checks from 2001.

[Zantheus]

Yes Tony, as an Independant Contractor, u are considered "self employed" and you MUST file quarterly just like every other business owner

[Apache Warrior]

Yes Tony, as an Independant Contractor, u are considered "self employed" and you MUST file quarterly just like every other business owner

That is one reason I am incorporated and I is an employee of my company.
Apache

[DougBob]

Keep this conversation going, I want to learn too.