How much estimated tax for 1099 position

[gle]

I have my 1st offer as a 1099 PA, after working full time for 23 yrs as a W-2, and would like to know what other 1099 PAs use to estimate what their SS and FITW taxes should be?  I understand that SS is about 15%.  On the forum I've seen postings from 25-35%.  I am a retired AF PA and plan to only work 6 months per year.  Thanks for any info

[rev ronin]

I strongly recommend you get a tax adviser, rather than asking The Internet when real money (and interest and penalties...) are on the line.

[PAtoBin2017]

^^^ concur - consult a tax advisor for your particular situation.  As a 1099, you are essentially self-employed.  

 

While the FICA/MCARE component is approximately 15% (as a W-2 employee you have ~1/2 deducted from your pay -- there have been years where your % was reduced -- and your employer paid 1/2), OTHER benefits with being an employee account for the difference you've seen quoted on this forum.  This includes things employers pay for which often includes things like life insurance, disability insurance, company funded retirement contributions, workers compensation, employer subsidized health insurance, malpractice insurance(?), etc.  As a 1099, many of these, and quite a number of other expenditures will be things that you have to pay for, but that you can deduct as business expenses that will affect your tax liability.  

 

You want professional advice on how best to optimize your compensation / expenses to your benefit.

[gle]

I strongly recommend you get a tax adviser, rather than asking The Internet when real money (and interest and penalties...) are on the line.

Working on that for sure, thank you.

[ventana]

1099 almost never holds up and it typically screws you out of benefits

 

Just say no

 

You are the top of the pile and should be compensated fairly.....

[GetMeOuttaThisMess]

As mentioned in other threads, burden of proof that you qualify as a 1099 employee is on the employer, not yourself. You would be eligible for your back paid self-employment taxes and they would be on the hook to lump sum cover them if ever challenged.