Paying taxes

There really isn't an app, but there is a thing called an accountant to help you figure this out. You own your equipment or are you leasing with a carrier?

 

Taxation is theft. #### government

 

There is a lot that goes into figuring out how much taxes you would owe (what tax bracket you'd be in, how much deductible expenses you have, state tax issues, etc) and with all of the changes that went on with income taxes last year, an accountant is probably the best source. They can also help you figure out if you should be sending anything to the IRS during the year. Depending on how much you will be making, you might have to send in withholdings during the year.

 

Any small business accounting app will work. I've always been told to make sure you are saving 30% of each settlement to pay taxes later. I'm a company driver.

 

Its a s easy as pulling up a "witholding talble" for 2019. As a 1099, you have to pay 2 x the Fica / Medicare rate. That is 7.65 x 2 = 15.3%. You don't get back any of that. That should be desposited with your quarterly estimated taxes. The witholding table will give you the Federal income tax rate of taxation, but not the Fica Medicare. So, if you are single with no dependents, look that up in the table, find your estimated income and apply the amount. That is your federal witholding rate, not considering your personal exemption that you are allowed. If you take out the amount in the table, plus 2x the fica / Medicaire (=15.3%). You will be in good shape. It's always better to pay too much than too little if you have to err one direction or the other. You can download earning witholding estimate forms, so you can make the necessary deposit. Note, in many cases, it has to be done electronically. It used to be done, my making a quarterly deposit at the bank. Not so, now. Hope this help.

 

So, if you got to pay the government 35% and 2 ex-wifes 35% each. It does not leave much for you.

 

Correct. The government I think beats out an exwife, but here's a hint: Both of them are going to get their money, and the exwifes, gets hers out of your gross, not your net! That's a real bummer.