Tom..."Other Income"

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  • Crystal
    Advanced Daycare.com Member
    • Dec 2009
    • 4002

    Tom..."Other Income"

    Tom...throughout the year, I provide services for a couple of outside organizations that I recieve form 1099 for. The income is for "independent consulting" that I do, aside from my child care business. For instance, my local R&R pays me to conduct assessments on other programs and the Ca. ECMentor Program pays me to mentor students from the college.

    Would I claim these on schedule C, under my child care, or should I claim it on form 1040 under "other income?" I'd prefer to pay income tax, rather than self-employment tax, as I never have an income tax liability, but do end up with SE liability.

    Please advise, and THANKS!
  • TomCopeland
    Business Author/Trainer
    • Jun 2010
    • 3062

    #2
    Income

    When you work as a consultant like you are doing, this income should be reported on Schedule C, not directly on Form 1040. Unfortunately, you will have to pay social security tax on this income. Since the work is child care related, you can add it to your day care income on one Schedule C.
    http://www.tomcopelandblog.com

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    • Crystal
      Advanced Daycare.com Member
      • Dec 2009
      • 4002

      #3
      Thank you!

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