Tax Tips for Students with Part-Time Jobs

Tax Tips for Students with Part-Time Jobs

student jobAnother school year has come to an end and now is the time to earn some spending money for next year.  Following are some tips for summer employment:

You may need to pay federal, state and local taxes.  The IRS has a Withholding Calculator to help taxpayers estimate taxes they may owe.

Withholding and Estimated Taxes – If you are an employee, your employer normally withholds taxes from your paycheck.  If you are self-employed or if your employer does not withhold taxes, you can submit estimated tax payments.   See this IRS article on how and when to pay estimated taxes.

Employment Forms – when you are newly hired, you will need to fill out IRS Form W-4 (Employee’s Withholding Allowance Certificate).  Ohio employees may also be required to complete form IT-4 (Employee’s Withholding Exemption Certificate).  This information allows the employer to determine how much should be withheld from the employee’s paycheck. Entering ‘zero’ personal allowances selecting ‘Single’ means more taxes will be withheld than if you entered a personal allowance of 1.

Self-employment – If you are self employed, you will need to keep track of your income and your expenses.  See the IRS Self-Employed Individuals Tax Center for more information.

Tips – Tips are taxable and should be included on your tax return.  If tips received are $20 or greater in any single month, these must be reported to the employer.




Colleen Minnich

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