Lucinda asks:Recently I've started a job where I will be a contractor instead of a full-time employee. Now, in tax year 2000 what if any deductions can I have (considering I'm an individual not a D/B/A)?I don't know what D/B/A stands for - but just for your general thought process: You have started a business - any valid business expense is deductible. I'd find an accountant - you are also your employer. I think we need to know - are you incorporated or anything or just working on a 1099 basis?Second question: Taxes: I need to withhold 15% for FICA and what other taxes?I'm organized as an S-Corp - so I'm my own W2 employee, I withhold:Federal Income TaxState Income Tax(if applicable)Local Income Tax(if applicable)Federal UnemploymentState UnemploymentSocial SecurityMedicareBased on your state, you may need: Workers Compensation Insurance(In PA, officers and directors who own their companies may opt out of workers comp, which I did).Any references to pertinent tax reading material would greatly be appreciated. As always thanks for the help.Check out the Self Employed Fools board. You may find others in your State, with your same business organization(sole prop, s-corp, c-corp, parternship, llc, whatever). As for handling all this withholding - I use PAYCHEX - so it costs me about $50 per month to pay myself - but they handle everything including quarterly tax filings and direct deposit.Helter
Best Of |
Favorites & Replies |
Start a New Board |
My Fool |
BATS data provided in real-time. NYSE, NASDAQ and NYSEMKT data delayed 15 minutes.
Real-Time prices provided by BATS. Market data provided by Interactive Data.
Company fundamental data provided by Morningstar. Earnings Estimates, Analyst Ra