I have filed a 1099 misc, this will be my 2nd year, is this form considered self employment, also what are the pros and cons of this type of employment? TKS

Strictly speaking, an employer has to follow certain rules for treating someone who does work for them as a 1099 MISC contractor, but that's another story..

Yes, you are self employed if you do contract work. You add a Schedule C or C EZ to your 1040, which allows you to deduct expenses, and Schedule SE, which is a straight 15.3% SS tax. When you get wages, the employer pays half the SS, so being self employed can cost more if you can't offset SS tax with deductions. You can print these forms off IRS.gov. Deductions can be office supplies, advertising, some travel/gas/car (read the restrictions), postage, etc.

If you have been working on a company site all week for 2 years, you are NOT a contractor and should be getting wages (lot more paper work for employer, and some costs too). If you want advice on all that, use Answer below.