# Tax Withholding



## iUber2015 (May 17, 2015)

I have a short question, hopefully someone with tax expertise has a short answer. 

My salary is $100,000 at my full-time job. I claim O for tax exemptions. I have no dependents, I normally don't itemize...have a few hundred dollars in donations a year that's about it.

I also drive for UBER and LYFT on the side. I can confidently estimate I receive (based on what I am comfortable driving currently) about $325/week or $14-17,000/year in fares (incld tips) a year. I won't itemize gas receipts or car washes, etc just the mileage deduction.

So, I would like to make it as easy as possible for tax purposes and do not want to end up paying at the end of the year, nor want the gov holding too much of my money for the year either.

Based on my estimated additional $14-17k/year of Uber/Lyft driving, how much in additional taxes should I have my full time employer withhold on my paychecks? Federal and State (Wisconsin).

Thank you!


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## Sacto Burbs (Dec 28, 2014)

None. You learn to use schedule C, on your federal tax return, because you are running your own business. You can deduct $0.57 per mile. Keep a record of all your "app on" Miles. If you are an average driver you will discover that the standard deduction almost entirely cancels out the income. Test it out using your last four weeks miles and income.


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## chi1cabby (May 28, 2014)

Welcome to the forum iUber2015 !
Keep a mileage log for your Uber Driving. Hand written log is best.

You will likely have ~$5000 in Schd C income. For sake of simplicity, let's say you'll pay about 13% of that in Self-employment Tax (Schd SE).

You can also start an SEP-IRA, and deduct 50% of your contribution from your income. You'll pay Income Tax on the remainder of your Schd C income. So in the end, you'll pay Income Tax on about $3,500 at your tax bracket rate.


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## Fauxknight (Aug 12, 2014)

Edit


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