Do I need to pay taxes if I worked multiple under the table jobs in 2024?

Thanks for the info. I'm kinda in the same boat but my side gig is only like $5k doing yard work. Do I still need to report that? And do you know if there's a certain form I need for cash payments specifically?

You definitely need to report that $5k from yard work. The IRS requires reporting all income regardless of amount. There's no special form just for cash - you'd use Schedule C just like any other self-employment income. You'll also need to fill out Schedule SE for self-employment tax if your net earnings are $400 or more. For yard work specifically, keep track of your business expenses too - gas for equipment, tool purchases/maintenance, etc. These are deductible and will reduce your taxable income. Even if you don't have perfect records for 2024, make your best estimates and start keeping better records going forward.

How does it handle if you have literally zero documentation though? I get paid cash for my DJ gigs and have no receipts or anything. Would this still work?

Sounds suspicious tbh. Is it actually legit with the IRS? Last thing I need is to use some sketchy service and then get audited.

For cash with zero documentation, it actually helps you recreate reasonable estimates based on your memory of jobs and amounts. It asks specific questions about frequency of gigs, average pay, etc., then helps you build a credible record. I had minimal documentation for my bartending work and it walked me through creating a reasonable paper trail. Regarding legitimacy, I get the concern. It's not an IRS service but it uses the same tax forms and calculations the IRS requires. It's really just helping you fill everything out correctly. The actual filing still goes through official channels like any other tax software. I was skeptical too, but it's basically just specialized tax help for situations like ours.

Wait, how exactly does the IRS figure out someone has unreported income? That freaks me out a bit since I've done some under the table work too.

Sounds like a scam. How does some random service get you through to the IRS faster? That makes zero sense.

The IRS has several methods for detecting unreported income. They look at bank deposits vs reported income, they receive reports from third parties about payments made to you (often through 1099s), and they use lifestyle analysis - basically if you're buying expensive things or have high expenses but report minimal income, it raises flags. They also get tips from disgruntled customers, employees, or ex-spouses. As for Claimyr, it's definitely not a scam. It uses an automated system that continually redials the IRS and navigates the phone tree, then when it finally gets through, it calls you to connect. Think of it like having someone sit and redial for hours so you don't have to. It can't magically skip actual IRS hold times, it just handles the frustrating part of constantly calling back when you get disconnected.

Thanks for all this advice everyone. My total income including my W-2 job is definitely over that threshold, probably around $28k total. Sounds like I definitely need to report everything. Do you know if I can still claim business deductions even if I don't have receipts for things like gas and tools? And should I be worried about getting audited if this is my first time reporting self-employment income?

For business deductions without receipts, you can still claim reasonable expenses based on your best recollection, but start keeping better records immediately for the future. Many small business owners keep a dedicated credit card or checking account for business expenses which creates a record even without physical receipts. Regarding audit concerns, filing self-employment income for the first time doesn't automatically trigger an audit. The IRS is more concerned with patterns that don't make sense, like claiming excessive deductions relative to income. Report your income honestly, claim legitimate deductions you can reasonably support if questioned, and you'll significantly reduce audit risk. Going forward, even a simple spreadsheet tracking income and expenses will put you in a much better position.

This is terrible advice. The IRS has sophisticated methods to detect unreported income, including lifestyle analysis, bank deposit analysis, and information from third parties. They also run statistical comparisons against similar taxpayers in your area and profession. Plus the penalties for intentional non-reporting are severe - we're talking 75% penalty on the tax you should have paid PLUS interest PLUS potential criminal charges for willful evasion. They can look back many years if they suspect fraud. Not worth the risk for a few thousand dollars.

You're probably right. I didn't consider all that. I've always reported my side income but know plenty of people who don't. Guess they're taking a bigger risk than I realized.