Freelance Consultant's Diary

So, as a self employed management consultant , I some times hire my wife to help out.  I do the selling, analysis, and manage the client relationship (project management, presentation, etc.), while she helps with the research and preparation of slide decks.  Until 2021, it was so easy to show her self-employment income because she would have her own Schedule-C in which she would simply declare her income that we had agreed upon.  By the way, I used to simply receive payments from my clients, who I found through a consulting platform. Starting in 2022, the IRS changed some rules, and that is why I received a Form 1099-NEC with my name and social security number, since I am the one on the platform.  Even though she worked throughout the year, she did not receive (and was not required to receive) her own 1099-NEC.  However, she must be paid and her share of the income should count towards of Social Security credits. Thankfully, there is a way to do it, though, it took me a lot of research

Just as a background, because I am a self employed worker and eligible to receive pandemic unemployment assistance under the CARES Act , I applied for it as soon as MASS opened its new website.  And while the process and document requirements vary by state for Massachusetts no paperwork was needed if you had already filed your 2019 taxes.  As I reported earlier the initial approval in form of a Notice of Monetary Determination came in 2 days.  Another two more days, I see today that the payment is in progress.  Since I have provided by direct deposit information the payment should be faster, though, I found out that the first payment can take somewhat longer because they have to confirm the account information with the bank. I will provide an update when the payment hits my account.  I must say that this has been moving a lot faster than I expected.

I must admit that while I am so proud to be a resident of Commonwealth of Massachusetts.  Today, I am even prouder than ever.  I applied for pandemic unemployment assistance on April 22 around noon and just about 48 hours later, my application has been processed.  As they indicated, I am going to receive the minimum amount of $267 (and the $600 FPUC) to start, but they will then verify my income with the Department of Revenue and will adjust the weekly amount later.  I have no idea how much that will be since this is the first time I have applied for UI and am still learning its ins and outs.  Maybe it will always be the minimum since I am a self employed worker rather than a regular worker and am being paid what the CARES Act allows. So, thanks to all the great people who work at the Massachusetts Department of Unemployment Assistance for such a quick turnaround, especially in the middle of a pandemic.  Couldn't be more pleased, and it almost looks like I might get the funds fr

Here is a little background of my journey.  On March 31st, I applied for $10,000 EIDL from SBA .  I was then very disappointed to learn that while giant corporations were getting multi-billion dollar bailouts, the EIDL amount was lowered to just $1,000 .  To make things worse, I heard that SBA ran out of funding for EIDL . Well, there is some good news.  On April 21, I received the thousand bucks after accepting that money had run out -- it seems that since I was in the line early on, it just took time for them to process the payment.  Interestingly enough, I did not get an email at all; I guess I will just get tax documents later on.

As you know after CARES Act provided for unemployment insurance for gig economy workers, freelancers, and contractors like me, I was eagerly looking forward to learning more and trying to figure out the documents required to file for unemployment benefits . Well, this morning the Commonwealth of Massachusetts started to accept applications for pandemic unemployment assistance for self employed workers in the state, and I applied promptly.  This was the first time I have applied for unemployment insurance in my life -- I am in my 50s.  So, it was a bit scary to do not knowing what to expect. To my pleasant surprise, especially after reading about how other states in the country are struggling to implement this program in a time of great need, the process couldn't be easier.  It is the standard information that is required.  The only thing that is a little complicated for us is the income. It is very important that you file your 2019 taxes even though the deadline to do so is