How to pay social security tax

Forum|Forum|6 years ago
June 3, 2019
2 replies
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I became self employed; how to pay SS tax? Is it included somewhere in my Federal or State taxes?

TurboTax Self Employed Online

Best answer by BobinCT

When you enter your self employment income, Turbotax will calculate a SelfEmployment tax in addition to income taxes. Selfemployment tax includes Social Security and Medicare.

BobinCTAnswer

Employee

When you enter your self employment income, Turbotax will calculate a SelfEmployment tax in addition to income taxes. Selfemployment tax includes Social Security and Medicare.

tgad1000

Hi,

I received a 1099 form. what should I do to pay social security tax on this income? Does Turbo tax calculate that for me or I have to enter the amount manually? Please elaborate.

Best...

Tarek

VolvoGirl

Employee

Is it a 1099NEC or 1099Misc? That is for self employment. To report your self employment income you will fill out schedule C in your personal 1040 tax return and pay SE self employment Tax. You can fill out Schedule C and enter Self Employment Income into Online Deluxe but if you have any expenses you will have to upgrade to Premium version. Or buy any of the Desktop programs. All the Desktop programs have all the same forms, but you will get the most help in the Home & Business version.

How to enter income from Self Employment
https://ttlc.intuit.com/community/self-employed/help/how-do-i-report-income-from-self-employment/00/26653

Turbo Tax automatically figures out the self employment tax for you. Self Employment tax (Scheduled SE) is automatically generated if a person has $400 or more of net profit from self-employment. You pay 15.3% SE tax on 92.35% of your Net Profit (If it is greater than $400). The 15.3% self employed SE Tax is to pay both the employer part and employee part of Social Security and Medicare (FICA). So you get social security credit for it when you retire.

The SE tax is already included in your tax due or reduced your refund. It is on the 1040 Schedule 2 line 4 which goes to 1040 line 23. The SE tax is in addition to your regular income tax on the net profit.

ChristinaS

Employee

Social Security and Medicare tax are a part of the Self-Employment tax (SE tax). The SE tax is automatically added to your federal tax return based on the net income from self-employment. You add your income, you deduct your expenses... ..SE tax is automatically applied to the net result. This is how a self-employed person pays into Social Security.

If you have a net profit over $400, you can see the SE tax on line 57: