1099-Misc for Paid Family Leave

Forum|Forum|1 year ago
April 7, 2025
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Using TurboTax on windows and entering a 1099-MISC for 3rd party Paid Family Leave. It is showing up as business income. How should I be entering this information for the 1099-MISC so it wont show up as business income.

MindyB

Don't let TurboTax create a business. I suggest you delete the 1099-MISC you have entered, and anything that was created in the self-employment section and start fresh. Here is how to report the 1099-MISC:

Navigate to Federal Taxes > Wages & Income > I'll choose what I work on > 1099-MISC and Other Common Income> Income from Form 1099-MISC> Start or Update
Answer Yes to the question Did you get a 1099-MISC
Enter the 1099-MISC as printed, Continue
Describe the reason for this 1099-MISC: "Paid Family Leave" or similar.
Select None of these uncommon situations apply, then continue
Select No, it didn’t involve work that's like your main job and continue
The next screen asks how often you get income from this source. Select only the year of this specific 1099-MISC, 2024.
Next, select No, it didn't involve the intent to earn money
Verify that the amount is now populated on Schedule 1, Line 8z "Other Income."

Zoomer10Author

The trick was "Select only the year of this specific 1099-MISC, 2024." I had selected 2023 also because PFL was also reported last year. Now Schedule C is no more and Schedule 1 reports the income.

Thank you!!