<prompt> Human: Im a pizza delivery guy and dont work for a chain. I get paid in cash at the end of my shift for my hourly wage and all of the tips I get, I keep. Most of the money Ive made started the job in the 1st week of March is in my savings account. I have no idea how important this is, but most of that money was transferred from my parents account. Usually twice a week or so theyd ask me for X amount since they dont like using credit to buy stuff like groceries, gas, etc. and since I already have cash they dont have to go to the bank. Some of the money was deposited by myself and a smaller portion I just have in my room. Will the IRS just look at my bank account at the beginning and end of year and determine my tax from that or do I have to somehow claim it at the end of the year? Never had to worry about this before since all of my previous jobs were direct deposit.  <response>: Its not illegal to be paid in cash, but its a red flag. Your employer is still responsible for reporting your income to the IRS, and withholding federal and state income taxes, and social security and medicare FICA taxes. If your employer doesnt do this, you are still responsible for reporting your income including tips, and your earnings wont qualify for social security, medicare, workers comp, or unemployment benefits. It also puts you in an uncomfortable position if your reporting doesnt agree with your employers.The IRS wont look at your bank account unless they suspect under-reporting and do a field audit.See Using Cash to Pay Employees and Independent Contractors 