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Daycare and Taxes>Self Employment Tax ? For Tom
lilcupcakes09 06:25 AM 02-24-2012
Reviewing my taxes from this year and last year, I'm a little confused about the self-employment tax calculation on Form 1040.
I have a part time job that I get a W2 for at the end of the year, on line 8a of the long schedule SE it lists this.

It looks to me like I am paying self-employment tax on my W2 wages instead of my business income...is this correct? Both years are like this.
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TomCopeland 06:01 PM 02-27-2012
If you are filling out the Form 1040SE long form, your child care profit should go on line 2 and your W-2 wages should go on line 8a. You will pay the higher social security tax on your child care income than your wages.
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