Law Offices of Connie Yi, PC
California
Estate Planning
& Tax Law
Toll Free: 888-312-6978
Website Navigation Menu

Does your child have a summer job? Don't forget about taxes

Now that summer is here, many parents are wondering how to keep their children active and productive. For older teenagers, the answer may be to get a summer job. There are many benefits to seasonal work, including earning spending money and getting an introduction into adult responsibility.

Of course, a teenager's first summer job may also require a lesson on taxes - both for the teen and for his or her parents.

The online resource Accounting Today recently offered some tax tips for parents whose children will be working a summer job. While some of the tips are not likely to apply to most people, there are two tips worth repeating:

Reminder: You can still claim your child as a dependent.

Your teen may be earning money, but chances are good that you are still paying for at least half of their day-to-day support. If that's the case, and if your child is under the age of 19 (or 24 if a full-time student), you can still claim him or her as a dependent on your own taxes.

Reminder: Pay Attention To What Kind Of Employee Your Teen Is

Some teenagers are hired as regular employees, while others are hired as independent contractors. Depending on which type of employee your child is (and how much money he or she makes), taxes may not be withheld automatically. This means that some money may need to be set aside and paid at tax time next year.

Conclusion

In many cases, students who work summer jobs do not need to file a tax return the following spring. And if they do, they typically get to keep nearly all of what they earn. However, you shouldn't take anything for granted. If you take some time now to investigate their potential tax liabilities, it could save a lot of time and headache later on.

No Comments

Leave a comment
Comment Information

Contact Us Now to begin your initial consultation

Bold labels are required.

Contact Information
disclaimer.

The use of the Internet or this form for communication with the firm or any individual member of the firm does not establish an attorney-client relationship. Confidential or time-sensitive information should not be sent through this form.

close

Privacy Policy

FindLaw Network

Office Locations

Law Offices of Connie Yi, PC
490 Post Street, Suite 508
San Francisco, CA 94102
Phone: 415-433-3350
Toll Free: 888-312-6978
Map and Directions

Additional Office Locations:
Pleasanton
323 Ray Street
Pleasanton, CA 94566
Phone: 925-484-0888 
Pleasanton Law Office Map

San Mateo
1900 S. Norfolk Street, Suite 350
San Mateo, CA 94403
Phone: 415-433-3350
Map and Directions

Sunnyvale
1250 Oakmead Pkwy, Suite 210 
Sunnyvale, CA 94085 
Phone: 888-312-6978 
Map and Directions