Question

Should i pay self employment tax when I paid through my w2

Forum|Forum|7 years ago
June 1, 2019
1 reply
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I work full time and got the max with held for social security tax, Additionally, I have a consulting firm which generated revenue and turbo tax is calculating a self employment tax. Am i paying twice for self employment tax?

TurboTax Deluxe Online

K

KatrinaB48

It depends on which portion of self-employment tax you are referring to. If your wages are at least equal to the Social Security annual tax ceiling of $128,400, then you won't have to pay the 12.4% Social Security tax on your self-employment income. However, you will have to pay the 2.9% Medicare tax on all your self-employment income. There is no annual limit on Medicare tax.

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