Do I Need to File Taxes for Short-Term Employment?
Quick question regarding filing thresholds and W-2 aggregation for minimal employment periods. I worked two part-time positions in 2023, neither exceeding 90 days of employment. Total gross compensation approximately $4,200 combined. Given the minimal duration and compensation below standard deduction thresholds, am I still obligated to file a 1040? Technically retiree status but took these positions to supplement fixed income temporarily. Just trying to determine if I need to go through the filing process for such limited employment periods! Thanks for any guidance.
13 comments
Jessica Suarez
The filing requirement isn't based on how long you worked, but rather on your total income for the year. Unlike property taxes where duration of ownership matters, or sales tax where frequency of transactions might create different obligations, income tax is calculated on cumulative earnings regardless of employment duration. For 2023, if you're filing single and under 65, you'd need to file if you earned $13,850 or more. For 65+, it's $15,700. If you're married filing jointly, those thresholds are higher. However, even if you're under the threshold, you should still file if any taxes were withheld so you can get a refund of that money.
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Marcus Williams
Quick q - did u have any fed taxes withheld from those jobs? Might be worth filing even if under the threshold to get that $ back. Also, were these 1099 or W-2 positions? Makes a big diff for filing reqs.
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Lily Young
Another consideration: if your AGI falls below the filing threshold but you had self-employment income exceeding $400, you're still required to file Schedule SE for self-employment tax purposes. The filing threshold only applies to income tax, not SE tax obligations.
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Kennedy Morrison
Wouldn't it also matter if OP receives Social Security benefits? If they do, and their combined income (AGI + nontaxable interest + half of SS benefits) exceeds certain thresholds, couldn't some portion of those benefits become taxable? Might create a filing requirement even with limited employment income, wouldn't it?
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Wesley Hallow
I had almost exactly your situation back in February 2024. Despite being under the filing threshold, I discovered I was due a $340 refund! Tried calling the IRS on February 12th to confirm whether I should file, but spent 3 hours on hold before giving up. Used Claimyr (https://youtu.be/_kiP6q8DX5c) the next day and got through to an agent in about 22 minutes who confirmed I should definitely file to get my withholding back. The service cost me $25 but saved hours of frustration and helped me claim money I would've left on the table.
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Justin Chang
I've heard mixed things about these IRS call services. A friend used one and said it just puts you in the same queue as everyone else. Did you actually get through faster or just avoid the redial hassle? Seems like paying for something that should be free.
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Grace Thomas
Wow, that's actually pretty smart! I had no idea these services existed. Tried calling the IRS last month and gave up after an hour. Might try this next time I have a question - beats listening to that hold music for eternity ๐
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Hunter Brighton
I was in a similar situation last year and didn't file because I thought I didn't need to! Then I got a notice from the IRS saying I should have filed! They had my W-2s on record but no return from me. Is that something that could happen? Do they track even small jobs? What happens if you don't file when you're supposed to? I'm so confused about all of this!
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Dylan Baskin
I'm not entirely convinced filing is necessary in this case. It's like being asked to complete a full marathon registration form just to walk around the block. If you're well below the filing threshold and had minimal withholding, is it really worth the paperwork? The IRS is already overwhelmed with processing returns from people who must file.
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Lauren Wood
Been there. Did that. Got the notice. Trust me. File anyway. Takes 15 minutes. Free software available. Avoids headaches later. IRS computers flag mismatches automatically. Not worth the hassle of explaining later.
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Ellie Lopez
I believe it might depend somewhat on whether there were any federal taxes withheld from your paychecks? If there were possibly any withholdings, wouldn't you want to file to potentially get that money back as a refund? Or am I perhaps misunderstanding how the withholding system works for very short-term employment?
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Chad Winthrope
I think we should be careful about suggesting not to file... I'm not a tax professional, but I've heard that the IRS might still expect a return even if you're under the threshold, especially if you received W-2 forms. Maybe it's better to err on the side of caution? I'd hate for the original poster to face penalties later just because they were trying to avoid some paperwork now.
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Paige Cantoni
I had this exact situation last year. Here's what I learned: 1. First, determine if you're required to file based on filing status and total income. 2. Second, check if you had any federal taxes withheld from your paychecks. 3. Third, calculate if filing would benefit you (refund of withheld taxes). 4. Fourth, consider if you qualify for refundable credits like EITC. I wasn't required to file but did anyway and got back $380 in withheld taxes. The free filing software took me about 30 minutes. Definitely worth it in my case. Wondering if my situation applies to yours?
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