5 Tax Tips for Students with Summer Jobs

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  1. Don’t be surprised when your employer withholds taxes from your paychecks. That’s how you pay your taxes, and taxes we pay support the place where we live, our state and our nation.
  1. As a new employee, you’ll need to fill out a Form W-4, Employee’s Withholding Allowance Certificate. Your employer will use it to figure how much federal income tax to withhold from your paycheck.
  1. All tip income is taxable. If you get tips, keep a daily log so you can report them. Your W-2 form may include tip income, but if your log of actual tips shows less tips, the IRS will permit you to take the lesser amount.
  1. Some work you do may count as self-employment, like baby-sitting and lawn mowing. Keep good records of expenses related to your work. You may be able to deduct (subtract) those costs on your tax return and lower your taxes.
  1. You may not earn enough money from your summer job to be required to file a tax return. Even if that’s true, you may still want to file to receive a refund!

Visit IRS.GOV to learn more about tax rules for students, or give us a call at (541) 772-2410.

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