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January 20, 2025
Question

How do I treat a stipend my wife receives for being on the city council?

  • January 20, 2025
  • 1 reply
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She gets paid a check quarterly while on city council.

    1 reply

    January 20, 2025

    If she didn't receive a 1099, you can report this as other income.  To report other income, follow these steps in TTO:

     

    1. Navigate to Federal; Wages & Income

    2. Miscellaneous Income

    3. Other reportable Income

    4. Click the plus sign (+) to Add Another Miscellaneous Income Item

    5. Add a brief description and the amount.

     

    If she did receive a 1099, you can also enter this in step 1 above, please select the type of 1099 (such as 1099-NEC) on the instructions screen, then follow the on-screen instructions to add payor data and amount.

    Employee
    January 20, 2025

    1099's do not have to be sent out until January 31.  Suggest you wait until month's end to see if your wife receives one.

    **Answers are correct to the best of my ability but do not constitute tax or legal advice.