Skip to main content
March 16, 2025
Question

TurboTax is applying self employment tax to my Paid Family Leave. I am not self employed. How can I correct this?

  • March 16, 2025
  • 1 reply
  • 0 views
I have a 1099-MISC with Box 3 (Other income) used for PFL. Box 17 shows that the State/Payer is .NY, with a EIN for a third party that is paying

    1 reply

    March 16, 2025

    No, don't let TurboTax create a business. I suggest you delete the 1099-MISC you have entered, and anything that was created in the self-employment section and start fresh.

     

    Here is how to report the 1099-MISC:

     

    • Navigate to Federal > Wages & Income > Other Common Income> Form 1099-MISC> Start or Revisit
    • Enter the 1099-MISC as printed, Continue
    • Describe the reason for this 1099-MISC: "FMLA" or similar
    • Select None of these uncommon situations apply, then continue
    • Select No, it didn’t involve work that's like your main job and continue
    • The next screen asks how often you get income from FMLA.  Select only the year of this specific 1099-MISC, 2024.
    • Next, select No, it didn't involve the intent to earn money
    • Verify that the amount is now populated on Schedule 1, Line 8z "Other Income."