Employment tax tips

More and more people are getting involved with day trading. Win or lose, you’ll need to report your activities on your taxes, and pay taxes on the money you make. The good news is, you’re generally taxed less than your regular income, and as a day trader, you could have added tax benefits. Continue reading to find out more about how day trading will affect your taxes, what capital gains tax is, how to qualify for day trader status, what the wash sale rule is, and beyond.

With high inflation and rising prices, passive income may appear to be a good way to earn some extra cash flow and supplement regular earnings from your day job. But there are rules and considerations to take into account beforehand. Continue reading to find out about passive income tax, what passive income is versus active income, passive income tax deductions, and more.

There are special tax breaks that members of the United States Armed Forces, their spouses, and veterans should know before filing an income tax return. Understanding these rules and watching this video could help you or someone you love to get a bigger tax refund or understand how to file an accurate income tax return.

We know how difficult unemployment can be. Here’s what you need to know before filing your taxes this year.

Losing your job comes with a lot of questions about your taxes. Here's what you need to know about unemployment benefits, severance pay, tax credits, and more.

“Unemployment benefits” are financial assistance provided by federal and state governments to people who’ve been laid off from their jobs or are out of work. You most likely will have to pay taxes on that income. But not to worry, we’re here to help you understand how to report this income on your tax return. Keep reading to learn more.

Companies laid off over 1.17 million U.S. workers in 2025. Nearly 500,000 layoffs have occurred in the first half of 2026. If you have been laid off, you definitely don’t want to add IRS surprises to the pain of job loss. Read on to learn how severance pay can affect your taxes.

If you are an artist, the money you make providing your services may be considered income from self-employment.

If you are a self-employed tradesman or an independent contractor, including a computer technician, electrician, carpenter, construction worker, forklift operator, mechanic, machine operator, painter, plumber, welder, or laborer, you should receive Form 1099-NEC. Payments that you receive for providing trade services, outside of or in addition to your regular job, may be considered income from self-employment and reportable on Schedule C, Profit or Loss from Business. You may deduct all associated expenses to your self-employment income on your Schedule C.  Any expenses you have from your W-2 job are not deductible.

If you are a member of the clergy, you should receive a Form W-2, Wage and Tax Statement, from your employer reporting your salary and any housing allowance. Generally, there are no income or Social Security and Medicare taxes withheld on this income. Honoraria and fees that you receive from individuals for marriages, baptisms, funerals, masses, etc., are usually considered income from self-employment and are reportable on Schedule C, Profit or Loss from Business.

If you are a self-employed driver, whether you drive a yellow cab, Uber, Via, or Lyft, you must report your income on Schedule C. You may receive Form 1099-NEC, Non-Employee Compensation or Form 1099-K reporting income to be reported on your Schedule C.  Any income not reported on a 1099, must be included on your Schedule C also. This includes any cash fares and tips you receive while driving. You may deduct all associated expenses to your self-employment income on your Schedule C.  

If you are a self-employed tradesman or an independent contractor, like an electrician, you should receive Form 1099-NEC. Payments that you receive for providing trade services, outside of or in addition to your regular job, may be considered income from self-employment and reportable on Schedule C, Profit or Loss from Business. You may deduct all associated expenses to your self-employment income on your Schedule C.  

As a hairstylist, if you rent space in a salon, work from home, or travel to your clients, you may be considered self-employed. Self-employed taxpayers report all of their income, including tips, on Schedule C, Profit or Loss from Business. You may deduct all associated expenses to your self-employment income on your Schedule C.  

If you are a tradesman, such as a mechanic, machinist, machine operator, welder, or laborer, you should receive Form W-2, Wage and Tax Statement, from your employer. Payments that you receive for providing trade services, outside of or in addition to your regular job, may be considered income from self-employment and reportable on Schedule C, Profit or Loss from Business. You may deduct all associated expenses to your self-employment income on your Schedule C.  Any expenses you have from your W-2 job are not deductible.

Updated on May 3, 2023 If you are a nurse, midwife, or other healthcare worker, you should receive a Form W-2, Wage, and Tax Statement, from the organization employing you. There are no longer deductions available for you as an employee. If you work as a contract nurse, such as a traveling nurse, home health care, etc. you are generally considered self-employed and should receive a Form 1099-MISC, Miscellaneous Income.  This income should be reported on Schedule C and you can deduct your expenses related to your work such as mileage driven for your work, supplies, licensing renewal, office expenses, etc.

If you are a performing artist, such as an actor, dancer or musician, payments that you receive from someone who is not your employer (for example, payments for freelance work) may be considered income from self-employment and reportable on Schedule C, Profit or Loss from Business. You may deduct all associated expenses to your self-employment income on your Schedule C.  Any expenses you have from your W-2 job are not deductible.

If you are a tradesman, like a plumber, welder or laborer, payments that you receive for providing trade services, outside of or as part of your regular business, may be considered income from self-employment and reportable on Schedule C, Profit or Loss from Business. You may deduct all associated expenses to your self-employment income on your Schedule C.  Any expenses you have from your W-2 job are not deductible.

If you are a food or beverage service employee, you should receive Form W-2, Wage and Tax Statement, from your employer. A food or beverage service employee may be a bartender, cook, kitchen helper, waitress/waiter, busboy, maitre d', hostess, dining room captain or wine steward. There are no longer any work deductions available for employees including those in the food services industry.

If you work as a salesperson or sales representative, and you received a Form W-2 and the "Statutory employee" check box is marked in Box 13, report that income on Schedule C, Profit and Loss from Business. You may deduct your business expenses to reduce your overall taxes.

If you work in security or asset protection or as a correctional officer, the money you make providing security services may be considered income from self-employment.

If you are a self-employed tradesman or independent contractor, like a computer technician, electrician, carpenter, construction worker, forklift operator, mechanic, machine operator, painter, plumber, welder, or laborer, payments that you receive for providing trade services, outside of or as your regular job, may be considered income from self-employment and reportable on Schedule C, Profit or Loss from Business.  You may deduct all associated expenses to your self-employment income on your Schedule C.  Any expenses you have from your W-2 job are not deductible.

If you are a driver, such as a bus driver, taxicab driver, or truck driver, you should have received a Form W-2 for your job and none of your job-related expenses are deductible. If you are self-employed you should receive a Form 1099-MISC, Miscellaneous Income and you should report that income, and any expenses, on Schedule C, Profit and Loss from Business. 

If you are a tradesman, like a welder or laborer, payments that you receive for providing trade services, outside of or in addition to your regular job, may be considered income from self-employment and reportable on Schedule C, Profit or Loss from Business.

Millions of Americans receive bonuses at work. If you’re one of these millions, here is a guide to what a bonus is, how it’s taxed, and how you may be able to ease your tax burdens on supplemental income and bonuses you may earn when you file your taxes in 2026.

Starting a new job and going through other major life events often means that you’ll have to think about making changes to your federal and state withholdings. Withholdings are the amount of local, state, and federal taxes taken out of your paycheck. Read on to learn when you may need to revise your elections, and how paying the right amount in taxes as you go could be the difference between a tax refund or a tax bill when you file your federal and state returns.

Need to know how overtime pay affects your taxes? This guide will explain the basics of overtime tax, clear up common misconceptions about higher tax rates on overtime, and give a rundown on how to calculate overtime taxes.

More Americans are relying on side-gig earnings. And if you’ve never had a side hustle or second job before, understanding how this income factors into your taxes can be confusing. As a part of our Deductions@Work® series, here’s everything you need to know about how a second job or side gig affects your taxes.

If you have a job, you are almost guaranteed to be paying FICA taxes. They might even take a big bite out of your paycheck. But what exactly are FICA taxes and how do they affect your income? Read on to find out.

Starting a new job and going through other major life events often mean that you’ll have to think about filling out or revising your withholdings. Read on to learn how paying the right amount in taxes as you go could be the difference between a tax refund or a tax bill when you file your federal and state returns. 

It's important to understand how your W-4 withholdings impact your monthly finances and the amount of taxes you owe when you file. In this article, we’ll cover what withholdings are, why it’s important to revisit your withholdings at least once a year, and life changes that should prompt an adjustment to your withholdings using IRS Form W-4.