The Short Answer
Coaching does not have its own dedicated tax category, so you have to pick the closest match. For most coaches, that means one of two NAICS codes:
- 611710, Educational Support Services: the best fit for business coaches, executive coaches, and anyone teaching skills, strategy, or professional development.
- 812990, All Other Personal Services: the better fit for life coaches, health coaches, and wellness coaches whose work is more personal transformation than skills training.
When you file your Schedule C at tax time, the IRS asks for a six-digit business activity code instead of a NAICS code, but they are drawn from the same list. Most coaches enter 611000, Educational Services, since a dedicated coaching code does not exist. If your practice leans more toward therapy-adjacent wellness work, some coaches use 812990 instead. Either choice is defensible since the IRS uses this code mainly for statistical purposes and it rarely affects your tax bill.
Why the Category Matters
The business code you pick shows up in a few practical places:
- Business registration. When you set up an LLC or register for a state business license, you may be asked for a NAICS code. Picking 611710 or 812990 keeps you consistent with how banks, payment processors, and licensing boards expect coaching businesses to be classified.
- 1099 forms. If clients or platforms like Kajabi report payments to you, the business code you list on your tax return should reasonably match the kind of income being reported. It does not need to be an exact match, but wild mismatches can draw unwanted attention.
- Business insurance. Insurers often price coaching liability policies based on whether you are classified as an educator/consultant versus a personal services provider, so this same coaching-vs-personal-services distinction can affect your premiums.
What This Does Not Affect
Picking a business category does not change how your income is taxed. Whether you are a life coach or a business strategist, you report your coaching income the same way:
- Schedule C to report gross income and expenses.
- Schedule SE to calculate self-employment tax, currently 15.3% on net earnings up to the Social Security wage base, plus 2.9% Medicare on everything above it.
- Form 1040-ES for quarterly estimated tax payments if you expect to owe $1,000 or more for the year, which is common for coaches with lumpy, launch-based income from cohort programs or group coaching launches.
Choosing Between the Two Codes
If you are still unsure which code fits, ask what your clients are actually paying for:
- Paying for frameworks, accountability, and skill-building tied to their career or business? Use 611710 / 611000.
- Paying for personal growth, mindset work, or health and wellness guidance? Use 812990.
If your practice blends both, pick whichever describes the majority of your revenue. You can update the code in a future filing year if your business model shifts, for example moving from one-on-one life coaching into a certified executive coaching program.