Frequent Flyers and taxes

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Old 05-30-07, 11:39 AM
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Frequent Flyers and taxes

Hi all, back with more questions. For a 20 year old, I am seriously disconnected from the world. Anyway, my new job requires that I fly every week and well, that is going to rack up a lot of miles. I was wondering if anyone can recommend any good frequent flyers program that can help me reap rewards. I fly U.S. Airways and really, not taking advantage of all this flying would be a shame.

Also, for taxes, I've just been filling out the 1040 EZ all my life for my part time jobs. This one, however, is going to be a bit weird since it's temp and they're not putting me on payroll so I have to take out the taxes myself. I live in Massachusetts and I was wondering if anyone knows how I can go about doing that? Thanks a bunch.
 
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Old 05-31-07, 06:20 AM
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Sounds like you will be 1099'd, 1099 is the form # the irs uses for 'independent contractors', or basically put, people who work 'for' someone but aren't actually employed by them, so they don't take out taxes for you. You also don't get the added social security benefits, as I recall.

When you file your taxes, the amount of tax you owe will be more than you have paid, so you will owe taxes pretty much every year you are on a 1099.
You can save yourself some headaches by putting about 20% into a savings account to cover the unpaid taxes. If you have a state/local income tax, put back even more.
 
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Old 05-31-07, 09:09 AM
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Wow, I'm already getting a headache just thinking about all these numbers! Thanks for the headsup. I think I will loathe being 1099'd...
 
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