quick question

[dingleberry]

What is the name of your state? Florida

I began working for an individual who did not want to claim me as an employee. It is a one man business and I do the secretarial duties. I always planned on paying my taxes at the end of the year. However today he has approached me and requested I fill out an employee information sheet for tax purposes for him. My problem is this: I began working under the pretense that I would make $600.00 bi-weekly. If he claims me for taxes and then I pay my taxes how much is deducted from my paycheck now or how much am I looking at. I was told 20%. If I knew that he eventually would have me listed as an employee I would have requested more money bi-weekly because I knew that I would only really be making like 225.00 weekly. How can this hurt me if I fill out the information? Again I know full well and always expected to pay my taxes at the end of the year.

[LdiJ]

Originally Posted by dingleberry

What is the name of your state? Florida

I began working for an individual who did not want to claim me as an employee. It is a one man business and I do the secretarial duties. I always planned on paying my taxes at the end of the year. However today he has approached me and requested I fill out an employee information sheet for tax purposes for him. My problem is this: I began working under the pretense that I would make $600.00 bi-weekly. If he claims me for taxes and then I pay my taxes how much is deducted from my paycheck now or how much am I looking at. I was told 20%. If I knew that he eventually would have me listed as an employee I would have requested more money bi-weekly because I knew that I would only really be making like 225.00 weekly. How can this hurt me if I fill out the information? Again I know full well and always expected to pay my taxes at the end of the year.

If he sets you up as an employee he will be required to withhold taxes. This is actually to your advantage in three ways 1) you will have your taxes withheld throughout the whole year instead of having to pay a lump sum 2) He will be paying the employers share of Social Security and Medicare taxes which you currently have to pay yourself, 3) Its illegal for him not to withhold your taxes and pay the employer's share of Social Security and Medicare taxes.