Welcome Guest. Register Now!  



Reply
 
LinkBack Thread Tools Search this Thread Display Modes
  #1 (permalink)  
Old 02-23-2015, 11:18 PM
Junior Member
 
Join Date: Feb 2015
Location: Greater NYC area
Posts: 1
Non-service stipend +hourly wage income tax = ?

Hello,

Thank you for taking the time to read over my inquiries.

I am a 4th year biomedical graduate student who receives an annual living stipend bi-weekly, which is not taxed, and I also earn an hourly wage job part-time at a tutoring center which is taxed. The institute I receive my stipend from does not provide a 1099-MISC, 1098-T, or W-2 as this is considered a non-service stipend. Therefore, the income is not reported. However, they encourage us to report the income on our returns and to make quarterly payments, in which case I do. I am still not certain why taxes still needed to be paid on a living stipend, in which the amount of money is already very low and is not reported, but in any case I pay the expected amount for safe measure.

Last year I acquired a part-time, hourly paying, tutoring job in which I earn $70-$400 biweekly. Even though I have claimed 0 on my W-4, the taxes taken out are negligible, presumably because it does not earn me enough income to reach a taxable income threshold. However, this year I filed my taxes in turbotax and have surprisingly owed a couple hundred dollars from what I suspect is underpayment from the hourly job, which does not take into account the stipend I receive. Although I am not entirely certain if this is the case.

With this information in mind, it would be extremely helpful if anybody could provide input on the following: 1) indeed, the living stipend needs to be paid quarterly, 2) if the reason I owed alot of taxes is because of the discrepancy of tax bracket calculated from my hourly job which does not take into account the stipend income, 3) I should not have owed additional taxes due to the income types which is not accounted for by turbotax, 4) if I should adjust my taxes from my hourly job to not underpay again (see 2 above) using a fixed percentage, and 5) what that fixed percentage should be for fed, NY state, etc.

Thank you in advance for your thoughts and advice. I highly appreciate anyone's time and thoughts put forward in order to help.

Sincerely,

emachine



Digg this Post!Add Post to del.icio.usBookmark Post in TechnoratiFurl this Post!Reddit! stumble!bookmark in google!Share on Facebook!
Reply With Quote
Ads
Reply



Posting Rules
You may not post new threads
You may not post replies
You may not post attachments
You may not edit your posts

vB code is On
Smilies are On
[IMG] code is On
HTML code is Off
Trackbacks are Off
Pingbacks are Off
Refbacks are Off


Similar Threads
Thread Thread Starter Forum Replies Last Post
can someone help me understand my NJ/PA state wage income tax citylights23 Income 1 10-07-2014 12:42 PM
S Corp Comp on Service / Consulting Income ExpenseAnalyst S-Corporation 0 03-30-2014 11:41 PM
Stipend for service rrmcd55 Income 2 01-21-2010 09:15 PM
Should stipend be included in taxable income? evil_neo Income 1 02-12-2008 09:57 AM

Follow us on Facebook Follow us on Twitter Google Buzz Rss Feeds

» Categories
 
Individual
 » Income
 » IRA/Sep
 » Medical
 
Corporations
 » Payroll
 
Forum for CPAs
 
Financial Planning
 
 
 

» Recent Tax Q&A
No Threads to Display.