Categorizing pre-taxed W2 payments

magnificodesignmagnificodesign Member Posts: 4

If a client wants to put me on their payroll as a W2 employee, even if our arrangement is for a specific, short term design project, how should I categorize their payments in Wave?

They would be pre-taxed W2 income, unlike all my other clients' payments, which are 1099 business income, and recorded as paid invoices.

Comments

  • MikegMikeg Member Posts: 995 ✭✭✭

    magnificodesign,
    You would not include in Wave, since if you used the income statement to report your business you would be double counting the income on your 1040.

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