Quick answer: On February 25, 2026, the IRS updated the Form 1040 instructions for the “no tax on tips” deduction. For self-employed tipped workers — including many rideshare drivers and delivery couriers — the update makes the deduction smaller than the earlier instructions suggested. If you filed your 2025 return before that date using the … Read more
Quick answer: Starting with your 2025 tax return (filed in 2026), tipped workers — including many gig economy workers — can deduct up to $25,000 of tip income from their federal taxable income. The break runs through the 2028 tax year. It does not eliminate Social Security or Medicare tax on tips, and it phases … Read more
Being your own boss means being your own payroll department. Nobody withholds tax from a 1099 payment the way an employer withholds it from a paycheck — the responsibility for setting money aside, and sending it to the IRS four times a year, falls entirely on you. This calculator turns your net self-employment income into … Read more
