Module 5 — The Gig Worker
Module 5 Downloads & Resources
Your Module 5 reference materials. Keep these at your desk during gig worker appointments.
Schedule C Quick Reference Card
Income, expense categories, and key lines on Schedule C explained. One card for the desk.
Gig Worker Interview Checklist
Every question to ask a Schedule C client at intake. Income sources, expense categories, mileage, quarterly taxes. Print and use at every appointment.
2025 Standard Mileage Rate Card
70 cents per mile for 2025. Quick reference for mileage calculations and the difference between standard and actual expense methods.
Self-Employment Tax Explainer
One-page plain-English explanation of SE tax for clients. Print and hand out at the appointment.
Quarterly Estimated Tax Guide
Due dates, payment methods, and how to calculate estimated payments for self-employed clients.
Module 5 Study Guide
Complete summary of all 7 lessons. Key concepts, Sam’s return walkthrough, and the most important preparer questions for Schedule C clients.
Recommended IRS Resources
IRS Publication 334 — Tax Guide for Small Business
The IRS’s comprehensive guide to Schedule C. Heavy reading but the authoritative source for any question you can’t answer from memory.
IRS Publication 463 — Travel, Gift, and Car Expenses
Covers mileage, actual vehicle expenses, and the rules for substantiating vehicle deductions. Reference for any mileage question.
IRS Self-Employed Individuals Tax Center
IRS hub for self-employment topics including SE tax, estimated taxes, and business deductions.
Module 5 Summary — What You Learned
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Key Takeaways from Module 5
Lesson 1: Gig workers are self-employed contractors. No withholding, no W-2. Schedule C is their form.
Lesson 2: The 1099-NEC reports income with no withholding. The $600 threshold determines who sends the form, not what’s taxable.
Lesson 3: All income is taxable — cash, apps, checks. Ask about every payment method the client uses.
Lesson 4: Ordinary and necessary expenses reduce net profit. Mileage, dump fees, supplies, advertising, cell phone, platform fees.
Lesson 5: SE tax is 15.3% on net profit — both halves of FICA. Not a penalty. Explain it as the same tax every worker pays.
Lesson 6: The big mistakes: no mileage log, mixed expenses, no estimated payments, unreported cash. Teach prevention at every appointment.
Lesson 7: Income question + expense question + SE tax explanation + quarterly estimates = a complete gig worker appointment.
Lesson 2: The 1099-NEC reports income with no withholding. The $600 threshold determines who sends the form, not what’s taxable.
Lesson 3: All income is taxable — cash, apps, checks. Ask about every payment method the client uses.
Lesson 4: Ordinary and necessary expenses reduce net profit. Mileage, dump fees, supplies, advertising, cell phone, platform fees.
Lesson 5: SE tax is 15.3% on net profit — both halves of FICA. Not a penalty. Explain it as the same tax every worker pays.
Lesson 6: The big mistakes: no mileage log, mixed expenses, no estimated payments, unreported cash. Teach prevention at every appointment.
Lesson 7: Income question + expense question + SE tax explanation + quarterly estimates = a complete gig worker appointment.
📋 From the Desk of Ralph Martinez
Module 5 is the module that pays off the most in a neighborhood tax office. The gig worker is your most common client type outside of W-2 returns, and they have the most to gain from a thorough, well-organized appointment. Find every dollar of income. Find every legitimate deduction. Explain the SE tax without making them feel punished. Send them out with quarterly vouchers. Do that consistently and you’ll have clients for life.
— Ralph Martinez · Ruskin, FL · Est. 2001