View Full Version : Independent contractor.. Works for company who places salary and perdium all one 1099
darleena
Feb 16, 2011, 08:07 PM
I need to know if I have to pay taxes on perdium.. If Im a independent contractor and my contracted rate is x amount of dollars and my perdium is x amount of dollars but my employer lumps it all together in one lump sum.. can I be taxed on my perdium?
joypulv
Feb 16, 2011, 08:20 PM
Salary refers to employees, not contractors.
You owe taxes either way. With a 1099, none are taken out by the employer, so you owe all taxes, including the half of Social Security paid by employers to people getting wages and a W2.
Fr_Chuck
Feb 16, 2011, 08:50 PM
And of course you as a independent contractor, should have all the receipts, records of miliage and more that you use as deductions from your income. So when you traveled, you have meal receipts, you have motel receipts and more, correct ?