Lund & Guttry LLP

36917 Cook Street Suite 102, Palm Desert, CA 92211

 

Phone:  760-568-2242

Fax:      760-346-8891

  

Website: www.lundandguttry.com

September 2022

September 2022 Client Profile

Client Profile

Martin started his graphic design business a few years ago and has experienced steady growth. He is ready to outsource some administrative functions to give him additional time to handle more design projects. What things should he consider when using freelancers?


Since Martin doesn't plan to hire employees to work for his business, he will use independent contractors. That simplifies things and means he isn't responsible for withholding income or payroll taxes for his freelance workers.


But he may need to provide Form 1099-NEC to them in January, depending on how much he paid them. He should collect a completed Form W-9, Request for Taxpayer Identification Number, from each freelancer before providing their first payment.


He'll also need to lay the groundwork with each contractor. For example, will he be billed by the hour or by the project and when will that invoice require payment?


Client Profile is based on a hypothetical situation. The solutions discussed may or may not be appropriate for you.


SUBSCRIBE

Enter your Name and Email address to get
the newsletter delivered to your inbox.

Please include name of person that directed you to my online newsletter so I can thank them personally.


CONTACT US

Enter your Name, Email Address and a short message. We'll respond to you as soon as possible.

The information and opinions contained in this web site are obtained from sources believed to be reliable, but their accuracy cannot be guaranteed. The publishers assume no responsibility for errors and omissions or for any damages resulting from the use of the published information. This web site is published with the understanding that it does not render legal, accounting, financial, or other professional advice. Whole or partial reproduction of this web site is forbidden without the written permission of the publisher.