I worked as an independant contractor for over 5 years. Not a tax advisor, but in my opinion...

Your parent's maybe "claiming" you on their taxes as a dependant which is totally different than you working as an independant contractor. If they claim you on their taxes, you cannot take certain deductions on your tax return.

If you work for yourself basically, IE commission only, and you do not have a W2 with your employer, you are considered a 1099 income, or independant contrator. You do not have to have a business, or separate checking account, etc, although it is encouraged to keep track of all your ins and outs.

You usually have to pay estimated taxes every quarter, although the first year working I didn't have to, it was only after I had worked a year to where I had to decide on paying estimated taxes which is basically pre-paying income, and payroll taxes (taxes your employer usually pays like unemployment insurance, and Social security taxes) Now as an independant you have to pay it all. It sucks, and like they said earlier, it is like 15% in payroll taxes alone. Tack on the Fed Tax, and FL has no income tax....so... unless you have a s-load of deductions (mileage, home office, advertising, insurance, individually owned health insurance) Your Schedule C is going to be full of income, with no deductions. I would set aside at least 25% if you can if you don't expect a lot of deductions from your income. I filed my own taxes for 5 years as an independant.

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