Self employment income

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Tax Tutorial. In this tax tutorial, you will learn about self-employment income and the self-employment tax. Self-employed individuals are independent contractors, not employees. All self-employment income of more than $600 must be reported on a Schedule C. The bad news is you have to pay tax on your income.

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Paying Social Security and Medicare taxes. The Social Security tax rate for 2004 is 15.3 percent on self-employment income up to $87,900. Retire in 2-3 years, with an income to last a lifetime with Self employment at home. Achieve financial freedom working from home. Enjoy the freedom of owning your own internet business.