Worked Multiple 1099 Jobs This Year?

Keep track of the pending 1099s you should be receiving early next year.

Contracting clients are typically required to furnish 1099-NECs to 1099-eligible entities by January 31st.

Note: A 1099 is considered furnished if postmarked by January 31st.

It’s important to make sure your information on file with the contracting client is up to date. If any information has changed, be sure to provide them with updated information as soon as possible. Most information can be provided via a current Form W-9 which you may be asked for nevertheless.

Keep in mind, if you were paid less than $600 by a client during the year, you will not receive a 1099-NEC but are still responsible for reporting this taxable income. If you have a proper accounting/finance solution in place, you should be able to easily account for and report all income for the year.

Also, make sure your estimated tax payments are sufficient to meet IRS Safe Harbor rules.

It’s a good idea to touch base with your tax professional / CPA (if you have one) to ensure your business finances are tracking accordingly while making any necessary adjustments to avoid potential surprises at tax time.

If you haven’t received a 1099-NEC by early February, be certain to follow-up with the contracting client.

Be proactive, not reactive!