The 1099-MISC income form is used to report payments to self-employed contractors and certain other miscellaneous payments. Officially, it’s called just Form 1099-MISC, and it includes a huge range of “income” payments such as prizes and awards, royalties, crop insurance, certain legal fees, and fish and fishing boat proceeds, among other types of income. Indeed, while the IRS has dedicated 1099 forms for things like real estate sales, retirement plans, education savings accounts, and debt cancellation, it’s this miscellaneous form that’s most commonly needed for business filings.
The form is casually referred to as a 1099-MISC income form, especially when used for self-employed contractors, because it replaces an employee’s w-2 income form. It’s becoming more and more common for workers to be classified as self-employed contractors instead of employees, meaning this form is going to become more important in coming years. Some forecasts even suggest that about half of all U.S. workers will be contractors by the end of the decade. If you’re unsure of whether you need to fill out a 1099-MISC forms, or of how to do so, now is the time to get that settled.
It’s also worth noting that the worker classification guidelines are so vaguely worded that the IRS has actually created a request form that people can use to have the IRS make an official determination for them. For their part, business firms usually view the distinction as an informal measure of job security, tax classification of their own company, as well as the cost of employee benefits vs. the benefit of worker retention.
Software Solutions for 1099-MISC Income Form
Whether you’re trying to determine how to compensate someone who’s started to work for your company, or you’ve been making contractor payments and the time has come for end-of-year filings, Advanced Micro Solutions (AMS) has the software for you. Our W-2/1099 Forms Filer platform offers intuitive, menu-driven performance with a core set of data management filing features (data entry, printing, data reporting, security, networking) that can handle your basic form preparation and printing data on pre-printed forms.
Yet, it also creates a sophisticated module interaction that enables our customers to add features and products to their software package. In this way, we’re able to offer the same versatility as cloud-based software, while retaining the flat-fee structure that makes more sense when it comes to annualized filing form services. Take a look at our product costs and different kinds of software features:
- W-2/1099 Forms Filer : This platform is required for all other purchases, but don’t discount the power and features included in the foundational software itself.
- AMS Payroll : Use paycheck or direct deposit processing. Use live or after-the-fact payroll accounting. Get support for all 50 states, plus DC
- Software-Generated Forms : Print your own recipient and archive forms. Print your own MICR checks.
- E-File Direct : E-file an unlimited number of 1099 forms. You can also take advantage of recipient mailings and piecemeal e-filing services with our third-party vendor.
And this is just some of the more popular products related to Form 1099-MISC. We also have dedicated solutions for ACA filing, 1042-S filing, and unemployment forms filing. Find a better software solution for your 1099-MISC income form and all your w-2 and 1099 filing needs with AMS. Download our free software demo, talk to our Sales and Information team at (800) 536-1099, or order your AMS software now.