[olug] Part-time Self Employment (Side Jobs)

[Jacobs, Robert A.]

>
>Now for the part that hurts:
>
>As an independent contractor, you'll receive a 1099 from each of 
>the companies you work for...that means you get taxed at a higher
>rate and are responsible for tracking not only how much tax you
>owe, but how much social security as well.  Stick 50% of every 
>paycheck into a bank account and do not touch it! If you are real 
>lucky, you'll only need about 40% or so.

Replying to myself (sigh):

	obviously, this assumes you are "profitable".  If you are
just sinking expenses into a tax shelter, you probably will 
have more money left over at the end of the year.  

	Example:  We knew my wife was going to turn only a modest
profit, this past year -- something we could absorb -- so it 
wasn't an issue.  Her business is starting to pick up, though, and
we are now facing having to set aside that money (just in case).

Rob