Will I end up owing anything for taxes?

Hi,
I'm filing for taxes for the first time, and last year, I made about $730 from Door Dash (file with 1099), and about another $3700 from a company where I file with a W-2. Do you think it's likely I'm going to owe anything in taxes? I don't really have a ton of money in the bank, and am nervous I won't be able to pay if I have to owe anything. I also received both stimulus checks, the first $1200 and the second $600.

Thank you in advance.

2021-02-24T08:04:56Z

Hi,
I checked on the IRS website, and b/c I'm considered self employed through Door Dash, I'm pretty sure I am required to file for taxes.

Shay2021-02-24T09:16:12Z

Favorite Answer

You are getting bad advice.

You DO have to file taxes because you made more than $400 on Door Dash.  Anytime you earn income as "self employed"  - which is what Door Dash basically is - then you DO need to file a tax return even if you didn't earn anything else for the year.  Any earned income that is on a 1099 and is more than $400 requires you to file a tax return.  

On your Door Dash income, you will probably owe about $55 - this is a very rough estimate that would cover your social security and Medicaid taxes.  You owe those because you didn't have an employer that withheld them for you.

Now, on your W-2 form, if there is any amount in box 2, that amount would be refunded to you because your total earnings is less than $12,500.  So, if the amount in box 2 is more than the estimated $55 that you will owe - then you are still going to get a refund.  If it is less, then you are still going to end up owing something.

Fill out your taxes on a free tax website and see what the numbers actually show you.  I am confident that you won't owe more than about $55 and that is only if you didn't have anything to be refunded from your other job.  Include ALL income on ONE tax return.  

EDIT - the part about the stimulus checks not be taxable income is correct - you do not include the stimulus payments on your tax return.  That was "free" money.  

?2021-02-24T07:15:09Z

You don’t have to pay taxes on the stimulus checks. 

If you made less than $12200 in gross income, you don’t have to file any taxes.