Paying freinds/ use 1099misc form?

Discussion in 'Lawn Mowing' started by eggy, Mar 12, 2001.

  1. eggy

    eggy LawnSite Bronze Member
    Messages: 1,085

    Well I thought I would post here and in the buisness forum, My question is I have several freinds all who work full time elsewhere, and help me out from time to time on jobs. This year they all will make over 600.00 but really no one will make over $3000.00 can I just use a 1099misc form on them and let them be responsiable for their own taxes..they do work independent really,
  2. bob

    bob LawnSite Platinum Member
    from DE
    Messages: 4,260

    I ask my accountant the same question. He said that because they are working directly for me and I'm the boss, I can't pay them as an outside contactor.
  3. eggy

    eggy LawnSite Bronze Member
    Messages: 1,085

    Well in a sense yes, but they are kinda like hiring a outside handyman service....but I guess if I need to go threw all the paper bs be it..seems silly for freinds helping out from time to time....I still think the 1099 misc would work.
  4. NateinAtl

    NateinAtl LawnSite Member
    from Atlanta
    Messages: 121

    My accountant told me if they dictate when they work, then they are independent contractors. Check with your accountant to make sure, but I would think that they qualify as such. It will be a whole lot easier for you.

    OBRYANMAINT LawnSite Senior Member
    Messages: 555

    that is probably the best way to proceed
  6. BRL

    BRL LawnSite Bronze Member
    Messages: 1,211

  7. lawnboy82

    lawnboy82 Banned
    Messages: 957

    that would be nice if friends can just be paid regularly. but what if somebody gets hurt? you still need a workmans comp policy on them right? cause it is very nice for them to help you out, but what happens if the guy slips or something and has to go to the hospital or whatever.
  8. GreenQuest Lawn

    GreenQuest Lawn LawnSite Senior Member
    Messages: 822

    I worked for a place once that paid cash and then gave us a 1099. If its not alot of money then i dont see a problem. I made quite a bit of money that year and got nailed on taxes. I believe it was self enployment taxes or something like that. At any rate i got nailed for an extra couple of hundred dollars in taxes.
  9. thelawnguy

    thelawnguy LawnSite Silver Member
    Messages: 2,411

    If they are friends just pay them cash and have your number cruncher bury the expense elsewhere. Some friend if you are going to throw them under the IRS bus.

  10. Scraper

    Scraper LawnSite Bronze Member
    Messages: 1,656

    Ditto work), food and some cash keeps my friends happy...they just like working outside from time to time...

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