Do Independent Contractors Have to Pay Social Security Tax?
Working as an independent contractor makes an employee a business owner, with all the responsibilities and tax obligations. When you are an independent contractor, you receive your full paycheck with no withholding. You pay your own taxes. Previous business experience helps, but you can learn the system and stay within the law as well as provide for your future. Prepare to pay taxes quarterly or when filing your federal income tax return. You will owe federal income taxes along with Social Security and Medicare taxes.