Side Hustle Check

Hobby or business?

Check every box that's true for your side income. The IRS weighs these same factors when it decides how your activity should be reported.

I keep organized records of income and expenses I put real time and effort into it regularly, not just occasionally I'm trying to make a profit, not just cover a hobby cost I depend on this income, even partly, to pay for things I need It has made a profit in at least one of the last few years I have real knowledge or skill in this area, or I'm actively building it

Leaning

Check a few boxes above

Your answers will shape the read below.

This mirrors the factors the IRS actually uses (Topic 419) but isn't a determination — the agency looks at your full facts and circumstances, and no single factor decides it alone. Hobby income is reported as Other Income on Schedule 1, line 8j, with no expense deductions. Business income is reported on Schedule C, with deductions allowed, but is subject to 15.3% self-employment tax once net earnings clear $400.

Hobby or business?

Smart tax hacks with zero boring vibes 👇