Understanding Taxes as an Academic: Common Considerations and Shortcomings

Academics and Their Money

In this episode, Neeka Miremadi breaks down the complexities of taxes for professors, for those new to academia or continuing. She covers essential tax concepts, including how W-2 income differs from self-employment income, the importance of understanding calendar-year taxation, and how additional consulting or freelance work impacts tax obligations. Neeka also highlights common tax pitfalls, such as under-withholding for those with multiple income sources or married professors filing jointly. She provides actionable steps to help listeners assess their income sources from the previous year and prepare for tax season with clarity and confidence. While not offering tax advice, she emphasizes the importance of planning and seeking professional help when needed.

Takeaways

· Taxes are complex but manageable with the right knowledge.

· W-2 income does not allow for write-offs.

· Keep track of additional income for accurate tax filing.

· Consulting work may require estimated tax payments.

· Married professors need to coordinate tax strategies.

· Understanding your tax bracket is crucial for planning.

· Use previous years' income to inform current tax strategies.

· Seek professional help if tax situations become overwhelming.

· Stay informed about IRS deadlines and requirements.

· Financial clarity leads to better tax outcomes.

If you’ve got questions, suggestions for future topics, or just want to say ‘hello,’ you can reach us at https://attainablewealthfp.com/schedule-a-call/.

Any product or financial recommendations provided by Academics and Their Money, Inga, or Neeka are made solely in the author’s opinion and do not constitute professional financial or legal advice. All content is for educational purposes only.