Where do I find my parents (wages, salaries, tips, etc) section on a 1040X?
Unfortunately, this info in not on a 1040 X. You need a copy of their original 1040 & w-2's. If there were no adjustments you can use the amounts entered on the original 1040; otherwise you need to add and subtract & you may still have too.. If both parents worked - you need to look at their w-2's because the amount on 1040, Line 7, wages is their TOTAL combined wages.. Look at Line 1 1040 X. Are there any changes? If the amount in column B is zero it means there were no changes to the income & you can use the amounts entered on the original 1040. (You need to report each parents earnings separately - look for the w-2's for wages) If there are changes to Line 1, look at the 2nd page of 1040 X, Part III for an explanation of the changes . Then you may need to add or subtract depending if the amount increased or decreased their income be it wages or business income or farm income... Did you parents have income from farming or business? If not, the answer is zero - otherwise look on their original tax returns for the amount and check the explanation in Part III. If both parents had income -- you may need to look for their w-2's. If they have business income - which parent does it belong too? You need to report each parents earning separately. You may need to ask one of your parents. ------------- Your parents AGI is the amount on Line 1, (c) of 1040 X. (Don't separate this amount for each parent). FAFSA Question 85. Each parents income info goes on Lines 88 & 89 ______________ Not sure what the downvote is for Here is a FAFSA link which explains https://fafsa.ed.gov/fotw1415/help/paren... ------------- after your comments & mine to you ETA - I think you will need to get your parents help.' I'll still be around if you need more help.... __________- As for your update - NO, Line 2 (c) is for itemized expenses - Line 1 (c) is AGI. You need wages & business income. Please read my answer again & ask your parents for help...
Do strippers get a wage besides "tips"?
Very few clubs put their dancers on the payroll. This is because dancers would have to declare their tip income during every pay period; most clubs are too disorganized to keep track of tips accurately. Strippers are usually independent contractors and pay a house fee to dance--usually $20 to $500 a night. Clubs expect a percentage of lap and VIP dances, no more than 50%. At the end of the night, most clubs have tip outs...dancers must tip the bouncers, house mom, DJ, ect. an amount set by the club. The only tips the club will keep track of, if any, are tips paid by credit card.
Is waitressing the best minimum wage job because of tips you can make?
No, because restaurants don’t generally pay flat minimum wage. Instead, they count up your tips and make up the difference to get to minimum wage. For example, minimum wage is $10/hr. You make $5 in tips for one hour of work, so your employer is only required to pay your $5/hr for that hour of work. Tips are so institutionalized in the US that they count as part of your wage (though there are likely exceptions).
Why tip if the waitress is paid minimum wage?
@Vespa: Good argument and I partly agree. I added the link solely because the general consensus about tipping is that they are not paid at least minimum wage because tips supplement their income. So if you take out that factor is it always necessary to tip? But clearly that is not the case and its state dependent. At more upscale restaurants where the waiter greets you in a tux and has impecable knowledge about the menu, you should tip. At that point the waiter is adding to the experience and does more than hand you the meal.
How is it legal that restaurants do not pay minimum wage in the US?
Thanks for your A2A.You’re right — it is a ridiculous system. (And I have actually gotten into an argument with someone here on Quora about it.) But it is what we have, and it would take legislation at the federal level to change the tipping culture in the U.S.But let me answer you question…First, restaurants do pay the minimum wage in the United States. Let me explain how it works:Minimum wage for service industry workers is $2.13 per hour (as opposed to $7.25 per hour for everyone else), so as long as a restaurant pays their servers $2.13 per hour, they are legally paying the minimum wage.But there’s a catch…The server has to make at least $7.25 per hour when they add their tip income to the $2.13 per hour. If they don’t, the restaurant is obligated to make up the difference.A server works 40 hours per week and makes $2.13 per hour from their employer. That’s a paltry $85.20 for a week! But the server must also receive tip income of at least $204.80 in that week. If they don’t, the restaurant needs to make up the difference.To show you how this works, let’s take a look at a couple of scenarios:SCENARIO ONEA server gets paid $85.20 per week from their employer and makes $300 per week in tips. The employer owes the server no additional wages.SCENARIO TWOA server gets paid $85.20 per week from their employer and makes $100 per week in tips. The employer must pay an additional $104.80 for that week so the employee makes a minimum of $7.25 per hour.FULL DISCLOSUREWe pay our servers over twice as much as the federal minimum wage for service industry employees. We are working towards raising the minimum we pay to the actual federal minimum wage of $7.25 per hour through frugal management and cost control, but we aren’t there yet.
Does non-employee compensation count as wages for tax purposes in the US? If so, how does it affect income tax rates?
In the US, nonemployee compensation is treated as income from self-employment, distinct from wages. Nonemployee compensation is reported in a different place on the tax return.Net nonemployee compensation (after allowable deductions) is added to gross income, along with gross taxable wages (gross wages less pretax deductions such as deferred compensation and certain health care benefits) and other income subject to taxes. From gross income, individuals take deductions and claim exemptions for themselves and their dependents to arrive at taxable income. The tax rate is determined primarily by the amount of taxable income, although certain types of income (i.e. capital gains) are taxed at different rates.In addition to the rate applied to all income, net nonemployee compensation in excess of $400 is taxed at an additional 15.3% rate. This tax - called self-employment tax - is credited to the individual's Social Security and Medicare records. When the individual reaches retirement age, these records are used to determine the individual's Social Security benefits. Employees who receive wages have these taxes paid by their employer (and have half deducted from their wages); because nonemployee compensation is not wage income, the individual receiving it must pay the taxes. A deduction of half the amount paid in SE tax is taken by the individual, reflecting the employer's share of the SS and Medicare tax.Basic tax information is accessible in IRS Publication 17, available on the IRS Web site. Every taxpayer who wants to understand more about the tax system should read that document.
Do waiters/waitresses really depend on tips to make their living?
The two posters above are incorrect. The typical wage for a food server is about $2.13 per hour (may have increased slightly recently). The IRS assumes that tips will "make up" the difference between this wage and the Federal minimum wage. Note that both the food server and the restaurant pay taxes on an assumed amount of tips earned (typically 10% of sales).