Who is self-employed?
A person who carries on a trade or business as a sole proprietor or an independent contractor. Also, you are a member of a partnership that carries on a trade or business; otherwise you are in business for yourself.
What are my self-employed tax obligations?
As a self-employed individual, generally you are required to file an annual return and pay estimated tax quarterly.
Am I required to file an information return?
If you made or received a payment as a small business or self-employed, you are most likely required to file an information return to the Internal Revenue Service.
How will Social Security look at the money I make in my business? Do they count all the money that comes in?
For people who are self-employed, the Social Security Administration (SSA) is only interested in their “net earnings from self-employment” or NESE instead of gross income.