Self Employment and Social Security Benefits

[N02L84ER]

I know a farmer who was using his occupation as an exemption from paying SS taxes until his accountant told him he would not qualify for Medicare or SS. He is no longer claiming the exemption.

 

[MRG]

I'm really surprised how many people are looking at this as some kind of shady deal. I'm not hiding anything, or trying to game the system in any way. I report everything I earn, as well as my business related expenses. I simply cut back on my expenses and noticed the increase in benefits due to a higher net income. Heck, I'm probably entitled to many deductions I never take, use of a home office, depreciation of office equipment, etc.

I never suggested it's shady. Taking legitimate expenses is totally on the up and up. My DW did the same thing when she was self employed.