My first paycheck!!!

[peachymomma]

In about 10 1/2 years! YAY!!!! I got paid for 24 hours of work

I doing a contract labor type thing and they are not withholding any taxes so how much should I be saving for the end of the year taxes?
It is a county job...

[Ione]

About 15% for self-employment taxes (that you pay at the same time as fed income tax), PLUS whatever you are likely to own in income taxes on top of that... (Hard to give you a set % because income taxes vary so much in function of how much you earn, how many exemptions you have, if you can file "head of household" or not, etc..)

I saw an accountant who said that if I wanted to be safe, I should put aside between 35% and 45% to cover self-employment and income tax.

For 2007, mine worked out to just over 25% of my gross earnings for self-employment tax plus state and federal income tax all together.

[mama41]

CONGRATULATIONS! Frame the stub!

Wow, that's great.

About taxes: If you can estimate your yearly income -- and it may be a little premature to do that -- you can also estimate your taxes. If your income's relatively low, you won't owe any federal taxes, and EITC and/or CTC will likely take care of your self-employment taxes. Of course, if you put the money aside, you'll have savings, and that's never a bad thing.

[BelovedK]

yay! Take the advice about the self employment tax seriously, I had to pay a huge chunk, but I had a good accountant who 'saved' me by finding the child tax credits (my last accountant didn't : I am going to refile)

[Tilia]

Awesome! I am hoping to find a job in June. I quit work back in '03 to become a SAHW, then had our daughter, then got left and divorced, now I am mentally ready to put DD in daycare and go back to work.

[Sharondio]

30% is what I used to put away. I'd rather have extra at tax time than be scrambling. And if you're earning interest on it (instead of the government) you can err on the side of too much.

Congratulations!!! Feels good to make your own money, don't it??

[Fishie Kisses]

How exciting!!!