Just curious if as an independent contractor will you even be refunded some of the money you pay in taxes like at other jobs?
Thanks!
Just curious if as an independent contractor will you even be refunded some of the money you pay in taxes like at other jobs?
Thanks!





I suppose theoretically it's possible if you were to just pick a % and pay it and/or have other deductions & credits... but generally no, since you are supposed to calculate off your earnings every quarter. Like, I never get a refund because I will literally figure out what credits I have to use, split them up into 4, and calculate my taxes minus those credits every quarter so I'm not paying a dime more than I have to.
You get refunds at vanilla jobs because they withhold at X rate and don't take into account what tax bracket you fall in (so if they are withholding 25% and you are in the 15% bracket, you get a refund), nor do they know what credits or deductions you are going to claim.
You can give YOURSELF a refund every quarter thoughIf you're keeping 30% aside and it turns out you only need to use 20% of it, you refund yourself the difference every quarter.
"People jack off with the left hand and point with the right."
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Not if you do it right. As Selina indicated, you only get a refund if you overpay in the first place. You are just getting back your own money back after giving the government an interest free loan for up to a year.




Anytime you get a refund it is because you are lending the gov't money
In a perfect world you should figure it out so that you write the biggest check that you can afford on April 15
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