b

$6$

Multiply line $5$ a by $92\mathrm{.}35\%(0\mathrm{.}9235).$ If less than $$100,$ enter $-0-$dotsdotsdotsdotsdotsdots

$*..$

Add lines $4$ c and $5b$

$7$ Maximum amount of combined wages and self$-$employment earnings subject to social security tax or

the $6\mathrm{.}2\%$ portion of the $7\mathrm{.}65\%$ railroad retirement $($tier $1)$ tax for $2023....................$

$.........$

$8$a Total social security wages and tips $($total of boxes $3$ and $7$ on

Form$($s$)$ W $-2)$ and railroad retirement $($tier $1)$ compensation. If

$$160,200$ or more, skip lines $8b$ through $10,$ and go to line $11.$

b

Unreported tips subject to social security tax from Form $4137,$

line $10$dots

c

Wages subject to social security tax from Form $8919,$ line $10$dots

$.........$

d

Add lines $8$a$,8$b$,$ and $8$c

$9$ Subtract line $8d$ from line $7.$ If zero or less, enter $-0-$ here and on line $10$ and go to line $11$dots. $...$

cdots

$10$

Multiply the smaller of line $6$ or line $9$ by $12\mathrm{.}4\%(0\mathrm{.}124)$

$11$ Multiply line $6$ by $2\mathrm{.}9\%(0\mathrm{.}029)$

$12$ Self$-$employment tax. Add lines $10$ and $11.$ Enter here and on Schedule $2($Form $1040),$ line

$4,$ or Form $1040-$SS$,$ Part I, line $3.....$

$13$ Deduction for one$-$half of self$-$employment tax.

Multiply line $12$ by $50\%(0\mathrm{.}50).$ Enter here and on Schedule $1$

For Paperwork Reduction Act Notice, see your tax return instructions.

Cat. No$.11358Z$

Schedule SE $($Form $1040)2023$Problem $4-18$

Self$-$Employment Tax $($LO $4\mathrm{.}10)$

Tommy Staples is a self$-$employed surfboard maker in $2023.$ His Schedule C net income is $$136,000$ for the year. He also has a part$-$time job and earns $$35,000$

in wages subject to FICA taxes. Calculate James' self$-$employment tax for $2023$ using Schedule SE$.$

SCHEDULE $SE{?}_{(}()()(Form1040)),$ Self$-$Employment Tax

Department of the Treasury

Attach to Form $1040,1040-$SR$,1040-$SS$,$ or $1040-$NR$.$

Internal Revenue Service

Go to $wwwsir{s}_2$ gov$/$ScheduleSE for instructions and the latest information.

OMB No$.1545-0074$

$2023$

Attachment

Sequence No$.17$

Name of person with self$-$employment income $($as shown on Form $1040,$

Social security number of person

$1040-SR,1040-SS,$ or $1040-NR)$

with self$-$employment income

Tommy Staples

Part I $,$ Self$-$Employment Tax

Note: If your only income subject to self$-$employment tax is church employee income, see instructions for how to report your income and

the definition of church employee income.

A If you are a minister, member of a religious order, or Christian Science practitioner and you filed Form $4361,$ but you had $$400$ or more

of other net earnings from self$-$employment, check here and continue with Part I $............................$

Skip lines $1$a and $1$ b if you use the farm optional method in Part II$.$ See instructions.

$1$a Net farm profit or $($loss$)$ from Schedule F$,$ line $34,$ and farm partnerships, Schedule K$-1($Form $1065),$

box $14,$ code A$.$

$......$

b If you received social security retirement or disability benefits, enter the amount of Conservation

Reserve Program payments included on Schedule F$,$ line $4$b$,$ or listed on Schedule K$-1($Form $1065),$

box $20,$ code AH

Skip line $2$ if you use the nonfarm optional method in Part II$.$ See instructions.

$2$ Net profit or $($loss$)$ from Schedule C$,$ line $31$; and Schedule K$-1($Form $1065),$ box $14,$ code A $($other

than farming$).$ See instructions for other income to report or if you are a minister or member of a

religious order

$3$

$4a$

Combine lines $1a,1b,$ and $2$