2

I'm planning on starting a fiverr gig soon but I need some clarification on a couple things.

  1. When do I have to report earnings? Right away? After a certain amount is made?

  2. In terms of taxes which category does fiverr fall under? I've never done taxes for anything so any tips you might have for accounting as a freelancer would help me tremendously.

Daniel
  • 123
  • 4

1 Answers1

3

If you have had an income and never paid taxes you have a bigger problem than how to deal with reporting from Fiverr. So you have either never had a job in your life as the reason you never paid taxes or everyone else is paying more because you are not paying at all.

That said, any freelancer income is reported as "other wages" on your annual 1040 filing. Most any tax site allows you to fill out for free the 1040ez form and submit for free. Regarding states taxes you can fill out those forms online as well but likely a $30 fee to file unless you want to do it yourself.

Entre Preneur
  • 484
  • 2
  • 5
  • i've never had an income, I am a victim of the recession not being able to find work since people with 2 or 3 degrees suddenly started working in places where a new high school graduate should have been working and, in turn, started to entertain the idea of working online and starting my own freelance business. So that first paragraph does not involve me at all.

    And thanks for the second paragraph I will look into the 1040 forms immediately.

     – Daniel Mar 27 '17 at 18:19
  • 1
    It's good to hear you do not owe any taxes, that said bad you have not found work. If you have not earned any income yet, you don't need to figure out the tax forms yet and for you they will be very simple anyway.They will not be due until April 15th 2018 for income received in 2017. Just keep records of how much you earned and the expenses for your business. And you may well fall under the income required to file taxes in 2018 but let's hope for better luck. I would not be worried about this at all right now and focus the energy on getting work. – Entre Preneur Mar 27 '17 at 21:45
  • Ok thanks. I'm just afraid of making money, not reporting it how i am supposed to and then getting hit with something unforseen. I'm literally a newbie to taxes, accounting, etc. You said I might fall under the income required to file taxes? What is that minimum there? – Daniel Mar 27 '17 at 23:48
  • 1
    If you make under 10,350, you do not have to file taxes. https://www.irs.gov/publications/p17/ch01.html – Entre Preneur Mar 28 '17 at 13:08
  • wow thank you for the link i really appreciate it – Daniel Mar 28 '17 at 14:28