Thursday’s need-to-know money news

Today’s top story: What gig workers need to know about taxes. Also in the news: 5 credit card red flags to avoid, why financial advisors of color matter, and how to prevent stolen tax returns.

What Gig Workers Need to Know About Taxes
Protect yourself from tax surprises.

5 Credit Card Red Flags to Avoid
Being aware of these credit card warning signs can help you weed out the bad options and potentially save you money.

Why Financial Advisors of Color Matter
Financial advisors of color can help diverse clients gain trust in the financial industry, and ultimately help shrink the wealth gap.

Prevent Stolen Tax Returns With This IRS Tool
Protect your information.

What gig workers need to know about taxes

If you became a gig worker during the pandemic, beware: Your taxes just got more complicated.

Gig work — Uber driving, Instacart shopping, Amazon Flex delivery and so on — is on-demand, freelance work that’s typically taxed as self-employment. Instead of having an employer withhold money from your paycheck, you’re an independent contractor who is expected to pay taxes on your gig income as you earn it. You’ll also owe a larger share of your pay to Social Security and Medicare taxes.

On the plus side, you may have more opportunities to deduct your expenses and save for retirement than you do as a W-2 employee.

In my latest for the Associated Press, unraveling the mysteries of gig worker taxes.

Wednesday’s need-to-know money news

Today’s top story: Why missing college this fall is a bad idea. Also in the news: Why you should get your finances in top shape now to refi your student loans, choosing the Medigap plan that’s right for you, and how to apply for a $1,000 grant if you’re a freelancer or gig economy worker.

Why Missing College This Fall Is a Bad Idea
You could be wasting time and money.

Get your finances in top shape now to refi your student loans
Get the best deal possible when the grace period ends.

‘Medigap’ insurance covers some Medicare costs. How to choose a plan that’s right for you
Covering some of your Medicare costs.

How to Apply for a $1,000 Grant if You’re a Freelancer or Gig Economy Worker
Apply for an EIDL.