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Part-time job, why do I need a 1099?
I'm trying to get a part-time job (about 8 hours a week) but the employer owns her own business and she said she has to do a 1099. I'm not sure what this is, and I don't want to get involved in anything that will hurt me in tax-land. Also, I live in a housing building and don't want my rent to go up. Is this form good or bad??
3 Answers
- Nature MotherLv 41 decade agoFavorite Answer
It is not a real good thing, really. It means you are responsible for paying your taxes quarterly.
It is saying that she is sub-contracting you, and to qualify (and, yes, the govmt is cracking down on 1099's) you must bring all of your own supplies yourself.
She is employing people as sub contractors so she doesn't have to carry workmans comp on them.
Look it up and research a bit before you take this job.
Really, you would be better off at McDonalds... where your employer pays 50% of your SS and sends it in for you.
- 1 decade ago
Well really, its neither good nor bad, just different. If an employer pays a sub-contractor more than $600/yr, they must have a 1099 from that sub-contractor. It is expensive for small business owners to hire employees (taxes), so I am sure that is why your "employer" is approaching it in this manner. She can afford to pay you more if she doesn't have to pay payroll taxes. As a sub-contractor though, you should definitely be treated as such, not as an employee. You should have some say in your schedule and fees and such. It is essentially like you have your own sole proprietorship, so you may be able to claim deductions come tax time that would help offset the taxes not taken from your checks.
Source(s): Small business owner - 1 decade ago
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