Self Employment Tax
What is the Self Employment Tax?
Simply put, Self Employment Tax is the Social Security and Medicare taxes that self-employed people who earn income must pay. A common misconception is that the Self Employment Tax is the only tax that self employed people have to pay, but that isn't true. Self Employment Tax must be paid in ADDITION to your Federal Income Tax and State Income ...
Business Expenses
For webmasters, "Business expenses" can be anything from Computer hardware purchases to web-hosting costs. Business expenses are used to offset income earned online to reduce your overall tax burden. Make sure you properly document every business expense so you can deduct it from your revenues. Business expenses can vary quite a bit depending on how you earn money online. If you run a website and ...
Paying Taxes on Freelance Earnings
Whether you're a freelance writer, programmer, graphic designer, or anything else, any amount of money you earn online counts as "income" and you must pay taxes on it. As a self-employed online entrepreneur, you're responsible for filing your own taxes and keeping track of your own accounting. Unlike a regular job, where your employer automatically withholds income tax, social security, medicare, etc, when you get ...
Paying Taxes on Adsense Earnings
Do I have to pay taxes on moneys earned through Google Adsense?
That's probably one of the most common tax questions asked by webmasters, and unfortunately as much as we all hate paying taxes, the answer to that question is yes, Adsense earnings count as "income", which means you'll have to show it as income on your tax return. Depending your total income and where you ...