W-9s requested after paying
The contractor has been paid, changed numbers and does not answer. Without name, address and TIN, your CPA cannot prepare the 1099.
Service · 1099 bookkeeping
1099 bookkeeping for contractors and the businesses that pay them
It is January, your CPA wants the contractor list and half the W-9s were never collected.
1099 bookkeeping for contractors means keeping, all year, the records a 1099 depends on. If your business pays subcontractors, GS Brasil collects W-9s before the first payment, tracks the total paid to each one and hands your CPA a 1099-NEC package in January. If you are the contractor receiving 1099s, we separate income and expenses in QuickBooks, match deposits against the 1099s you receive and deliver a P&L. Filing with the IRS stays with your accountant.
These are two different audiences with the same form in the middle. This page covers both, one at a time. If the line between bookkeeper, CPA and tax preparer is not clear to you, the article on who does what helps.
Where 1099s go wrong
Three signs your 1099 tracking is loose
Contractor totals rebuilt from statements
In January someone adds up check by check and Zelle by Zelle. Cash payments get missed, and card payments get counted when they should not be.
1099s received that do not match
You are the contractor, 1099s arrive from several clients and nobody knows whether they add up to what hit your account.
How 1099s work
What it means if you pay contractors, and if you are one
If your business pays subcontractors
It all starts with Form W-9. That is where the contractor gives their name, address and TIN, their tax identification number. Ask for it before the first payment, while the contractor still wants to get paid and answers quickly.
Form 1099-NEC tells the IRS how much you paid an individual contractor or an LLC not taxed as a corporation. It is due January 31. The threshold was 600 dollars per year for payments through 2025. A July 2025 law raised it to 2,000 dollars for payments made from 2026 on, with inflation adjustments after that. Confirm with your accountant how this applies to you.
One detail changes the math: payments made by credit card or through a payment platform are usually reported by the platform on a 1099-K, and do not go on the payer's 1099-NEC. That is why each contractor total keeps the payment method separate from the start.
If you receive 1099s
If you work as a contractor, often through a single member LLC, your clients send you 1099s in January. The form shows what the client says they paid you. It says nothing about what you spent to do the work.
The work here is different:
- separate business and personal accounts, and categorize fuel, tools, materials, insurance and phone;
- record income by client, so each 1099 you receive can be checked against it;
- flag differences for your CPA, including income that may show up on more than one form, such as platform payments;
- deliver the year's P&L before the federal deadline, which is April 15 for individuals and March 15 for S corporations and partnerships.
Employee or contractor
Deciding whether someone is an employee or a contractor has labor and tax consequences. That decision is yours, made with your accountant or an attorney. GS Brasil records payments under the classification you set, and points it out when a payment pattern looks like payroll, so you can take the question to them.
Who files
Issuing 1099s and filing them with the IRS is done by your accountant or CPA, or the filing service they use. GS Brasil prepares the data: W-9s, totals per contractor and payment method, checked against the books.
How it works
From contractor setup to the January package
01
Start
Review of who has been paid
We list every contractor paid this year, with amounts and payment method, and flag who is missing a W-9.
02
Setup
Contractors set up in QuickBooks
Each contractor becomes a vendor flagged for 1099 in QuickBooks Online, with payments mapped to the right accounts. If you receive 1099s, your clients and expense categories get set up instead.
03
Every month
Reconciliation and updated totals
At each monthly close, every contractor payment is reconciled and the yearly total is reviewed. Any new contractor without a W-9 shows up in the report.
04
January
Package delivered to your CPA
Contractor list with W-9s, totals by payment method and closed books for the year, with time for your CPA to file by January 31. See also year end bookkeeping.
What you receive
1099 bookkeeping deliverables
W-9 file
One W-9 per contractor, stored and linked to the vendor record in QuickBooks, with missing ones listed.
Year to date totals per contractor
Total paid to each contractor this year, split by check, transfer, cash, card and platform.
1099-NEC package
A final report checked against the books, in whatever format your CPA needs, ready for them to issue and file.
Subcontractor cost by job
For construction, each payment tied to the job it belongs to. See construction bookkeeping in Florida.
Check of 1099s received
For contractors, income from each client compared with that client's 1099, with differences noted for your CPA.
Tax ready P&L
The year's income and expenses categorized and reconciled, delivered before the deadline. More on tax ready bookkeeping.
The split with your CPA on 1099s.
GS Brasil collects and organizes the data. We do not issue or file 1099s with the IRS, decide whether someone is an employee or a contractor, or file taxes. Thresholds, deadlines and filing method: always confirm with your accountant or CPA.
Frequently asked
Questions about 1099s and W-9s
Do you issue and file my company's 1099s?
No. Your accountant or CPA, or the service they use, issues and files them with the IRS. GS Brasil hands them the finished package: each contractor's W-9 and total paid for the year, checked against the books.
What is the minimum amount that requires a 1099-NEC?
For payments through 2025, the threshold was 600 dollars per contractor per year. For payments made from 2026 on, the July 2025 law raised it to 2,000 dollars, adjusted for inflation later. Confirm with your accountant before leaving anyone out.
I paid some contractors by credit card. Does that go on the 1099-NEC?
Generally, no. Card and payment platform payments are usually reported by the platform on a 1099-K. That is why contractor totals are split by payment method. Your CPA confirms how each case is handled.
I already paid a contractor without a W-9. What now?
Request the W-9 before the next payment and let your accountant know. They will advise what to do if the contractor does not send it. GS Brasil keeps the list of missing W-9s visible every month, so it does not reach January.
I am a contractor with 1099s from several clients. Do you work with single member LLCs?
Yes. The focus is separating business expenses, recording income by client, checking each 1099 you receive and delivering the year's P&L to your accountant before the deadline.
Keep reading
Related to 1099 bookkeeping
Construction
Job costing and margin per job in QuickBooks.
Construction bookkeeping in Florida
Hurricanes, draws, retainage and subcontractors in your job cash.
Year-end bookkeeping
The October to April calendar to close the year before tax season.
Tax-ready bookkeeping
A monthly routine that keeps the books ready for your CPA all year.
Bookkeeping in Massachusetts
Monthly books in Portuguese, English or Spanish for MA companies.
Article: bookkeeper, CPA or tax preparer
Who does what, and in what order.
First step
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