Addressed To The Nines: It's Time To Send Out 1099sTo Independent Contractors

Happy

New Year! Did you procure the services of independent

contractors/freelancers during 2008? If so, then you are required to send forms to

those people by January 31, 2009. This year the 31st is a Saturday,

so you actually have until February 2, but don't delay. 1099-MISC

(Miscellaneous Income) forms are the forms that must be issued by your

business when you pay  independent contractors $600 or more for

services. To complete the forms, you need a list of all the independent

contractors, their current address and social security numbers.

You can purchase the forms and envelopes cheaply at Staples ($15.99 for 24 forms) or you can order them from Quickbooks.  Make sure to purchase 1099-MISC forms.

Last year, one of my clients picked up the 1099-INT forms by mistake.  

If you are using Quickbooks, you can run a 1099 vendor report to get a

list of the total amount paid to vendors.  If you don’t use Quickbooks

or another accounting system, then just review your check register or vendor payments online and

add up all payments made to each independent contractors.