Freelancing gives you flexibility.You choose your clients. You decide when and where you work. But taxes?That part trips up even smart, organized freelancers. Most freelancer tax problems don’t happen because someone is careless. They happen because no one explains the rules clearly at the beginning. So people guess. Or wait. Or assume things will “work … Read more
Freelance Taxes 101 Freelance taxes work differently than traditional employee taxes — and understanding those differences is essential if you earn money as a freelancer or independent contractor. The IRS treats freelancers as self-employed, which means you’re responsible for reporting income, paying self-employment tax, making quarterly estimated payments, and tracking business deductions on your own. … Read more
Self-employed tax vs freelancer tax Whether you call yourself a freelancer, consultant, or self-employed professional, one thing is certain — the IRS calls you a business owner. And that means your taxes work differently from traditional employees. Yet many new freelancers are confused: Is there really a difference between “self-employed tax” and “freelancer tax”?The short … Read more
How to Avoid IRS Penalties as a Freelancer If you’re a freelancer, few things are scarier than getting an unexpected letter from the IRS. Whether it’s about missed payments, late filing, or underreported income, penalties can add up fast — and eat into your hard-earned income. But here’s the good news: avoiding IRS penalties isn’t … Read more
What is a 1099-S If you’ve been freelancing for a while, you’re probably familiar with forms like the 1099-NEC and maybe even the 1099-K. But then — out of nowhere — you hear about Form 1099-S, and your brain instantly goes: “Wait, do I need to worry about that too?” Let’s break it all down … Read more