Independent Contractors Archives - Patriot Software Wed, 26 Jul 2023 20:16:12 +0000 en-US hourly 1 https://wordpress.org/?v=6.2.2 https://www.patriotsoftware.com/wp-content/uploads/2020/01/cropped-site-favicon-32x32.png Independent Contractors Archives - Patriot Software 32 32 “SOS! Do I Need to Prepare a 1099 for Credit Card Payments I Make to Contractors?” https://www.patriotsoftware.com/blog/accounting/1099-for-credit-card-payment/ Thu, 23 Mar 2023 14:04:00 +0000 https://www.patriotsoftware.com/?p=52882 Paying a contractor to perform work for your business comes with a little disclaimer: reporting said payments on Form 1099-NEC. But what if you pay your contractor using a credit card? Do you have to prepare a 1099 for credit card payments? If you’re not sure what your responsibilities are for making electronic payments to […]]]> How to Convert a Worker from Contractor to Employee https://www.patriotsoftware.com/blog/payroll/convert-contractor-to-employee/ Fri, 16 Dec 2022 15:38:24 +0000 https://pslohio.wpengine.com/uncategorized/convert-contractor-to-employee/ At some point, you might need to convert an independent contractor to an employee. You might have worked with a contractor several times, but now you want to hire them as an employee. For example, you might have used an independent contractor to periodically assist with your business’s marketing, but now you want to hire […]]]> Do Your Homework When Hiring a 1099 Subcontractor https://www.patriotsoftware.com/blog/accounting/do-your-homework-when-hiring-a-1099-subcontractor/ Wed, 09 Nov 2022 15:17:55 +0000 https://pslohio.wpengine.com/uncategorized/do-your-homework-when-hiring-a-1099-subcontractor/ As a small business owner, you might have considered hiring a 1099 subcontractor. In some ways, a subcontractor can give you more flexibility than an employee. Subcontractors are responsible for their own permits and payroll taxes. But, you must be careful when making a 1099 contractor agreement. You do not want to misclassify an employee […]]]> What Is Nonemployee Compensation? https://www.patriotsoftware.com/blog/accounting/what-is-non-employee-compensation/ Mon, 07 Nov 2022 19:27:19 +0000 https://pslohio.wpengine.com/uncategorized/what-is-non-employee-compensation/ As a small business owner, you might hire independent contractors to address business-related needs. When you pay an independent contractor, they receive nonemployee compensation. What is nonemployee compensation? What is nonemployee compensation? Nonemployee compensation is the money you pay to an independent contractor who performs work for you. Nonemployee compensation includes fees, commissions, prizes, and […]]]> 7 Tips for Working With Independent Contractors https://www.patriotsoftware.com/blog/accounting/tips-working-with-independent-contractors/ Fri, 21 Oct 2022 18:36:56 +0000 https://pslohio.wpengine.com/uncategorized/tips-working-with-independent-contractors/ According to a recent study, one out of every 10 workers is an independent contractor. With so many contractors making up the workforce, you’re bound to work with or hire one at some point. Hiring contractors can be beneficial to your business. But if you’re going to be working with independent contractors, you need to […]]]> What Is an Independent Contractor? https://www.patriotsoftware.com/blog/accounting/what-is-an-independent-contractor/ Tue, 18 Oct 2022 15:18:00 +0000 https://pslohio.wpengine.com/uncategorized/what-is-an-independent-contractor/ As a business owner, you might need to hire a worker at some point or another. And depending on your type of business, you might need to hire employees, independent contractors, or both to get the job done. But, how much do you really know about independent contractors vs. employees? Can you get away with […]]]> What Is an ITIN? https://www.patriotsoftware.com/blog/payroll/what-you-should-know-about-itins/ Mon, 17 Oct 2022 18:26:35 +0000 https://pslohio.wpengine.com/uncategorized/what-you-should-know-about-itins/ For identification and tax reporting purposes, both employers and workers need Taxpayer Identification Numbers (TINs). These numbers let the IRS identify you when you fulfill your reporting and filing requirements. One Taxpayer Identification Number you should know about is the ITIN. What is an ITIN? Types of Taxpayer Identification Numbers There are several types of […]]]> What Is Form SS-8? https://www.patriotsoftware.com/blog/payroll/what-is-form-ss-8-determination-instructions/ Mon, 10 Oct 2022 17:21:00 +0000 https://pslohio.wpengine.com/uncategorized/what-is-form-ss-8-determination-instructions/ As a business owner, you might hire workers to help streamline your business processes. When you bring someone on board, one of your responsibilities is to decide whether they are an independent contractor or employee. If you have trouble with this determination, you can file Form SS-8. What is Form SS-8? File Form SS-8, Determination […]]]> What California AB 5 Means for the Gig Economy and Beyond https://www.patriotsoftware.com/blog/payroll/california-ab-5-business-gig-economy/ Mon, 10 Oct 2022 04:00:00 +0000 https://pslohio.wpengine.com/uncategorized/california-ab-5-business-gig-economy/ In 2018, California came up with the ABC test to determine whether an employer could classify a worker as an independent contractor. And in September 2019, the court approved the new California AB 5 (Assembly Bill No. 5) to push the ABC test’s effects into motion. The new 2019 law significantly limits the ability of […]]]> Build It and They Will Come: Hiring a Contractor https://www.patriotsoftware.com/blog/accounting/hiring-a-contractor/ Tue, 27 Sep 2022 19:21:54 +0000 https://www.patriotsoftware.com/?p=57545 As a small business owner, it’s your responsibility to know who’s the best person to hire for a job. Sometimes that means adding an employee to your roster. Other times, it means hiring a contractor. Hiring a contractor can help fill temporary or project-oriented positions. Read on to get the scoop on hiring independent contractors […]]]>