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I wanted to get a second opinion from some seasoned accountants in tax. I am doing a side hustle for a real estate company. I am not an employee for that company, but an independent contractor with a W9. The concern is paying taxes as an independent contractor. I’m keeping a spreadsheet of all the income I earned along with the expenses I incurred (licensing costs, gas, membership dues to be eligible to do the work). Independent contractors need to pay all of FICA (15.3%) on the profit they earned, correct? Additionally, they need to pay the income taxes on that profit in addition to the other income they have earned (in my case a W-2)
Once I break even and start to earn a profit, I will start reserving a percentage of the profit and submit the payment quarterly. Is this the correct way to handle this? I tried researching online, but they are not specific enough.
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