# Piece workers



## d-rock (Oct 21, 2009)

If you guys hire piece workers, how do you pay 1099? or cash? or subs? is it legal to issue a 1099? how do you monitor the amount of work a guy did to accurately pay him? i'm sure you don't walk around with a ruler and measure his work. just curious,


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## 2buckcanuck (Jul 9, 2010)

you got 305 post?????
you need someone from nyc to help you ,I'll try to help you a bit
anything over 4000 sq ft you should be able to get a hanger/taper to do it for the going p/w rate in your area.anything lower the rate will go up or they will want to do it by the hr.
what the hanger installs you pay that sq ft,say he hangs 10,000 sq ft @ 12 cents = 10,000 x12 =120000 or 10,000 x .12 =1200 works out to $1,200,You dont subtract scrap or measure door ways and windows and subtract that from the count either .and when the taper ask for 95 dollars a square foot you pay him that!!!just kidding ,I'm a taper
guessing you always price by hr ?you still need someone from nyc to help,sorry can't help you more


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## d-rock (Oct 21, 2009)

2buckcanuck said:


> you got 305 post?????
> you need someone from nyc to help you ,I'll try to help you a bit
> anything over 4000 sq ft you should be able to get a hanger/taper to do it for the going p/w rate in your area.anything lower the rate will go up or they will want to do it by the hr.
> what the hanger installs you pay that sq ft,say he hangs 10,000 sq ft @ 12 cents = 10,000 x12 =120000 or 10,000 x .12 =1200 works out to $1,200,You dont subtract scrap or measure door ways and windows and subtract that from the count either .and when the taper ask for 95 dollars a square foot you pay him that!!!just kidding ,I'm a taper
> guessing you always price by hr ?you still need someone from nyc to help,sorry can't help you more


thanks for the reply. I pay my employees by the hour, but someone mentioned piecing some work out. I usually sub out my taping.


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## silverstilts (Oct 15, 2008)

d-rock said:


> If you guys hire piece workers, how do you pay 1099? or cash? or subs? is it legal to issue a 1099? how do you monitor the amount of work a guy did to accurately pay him? i'm sure you don't walk around with a ruler and measure his work. just curious,


 It should not matter whether by the hour or piece work income is income so yes you would 1099 them, but legally in some states you don't necessarily have to even give them a 1099 if you have a invoice given to you by them, just make sure that you have their tax ID # and submit it to uncle sam it is their responsibility to pay their own taxes. Unless again with the new laws in effect and they are not exempt from withholding that is another story.


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## PaRiggins (Jul 24, 2010)

If you pay an individual over $600 in a year, you need to send a 1099. (irs rule). Currently you do not have to send them to Corporations. Next year this will change and everyone who is paid over $600 will need to be issued 1099s. This will pay for the health care bill.


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## DSJOHN (Apr 5, 2010)

Ive always been under the assumption that the 1099 goes to the gvt but not necessarily the individual as long as they made out a w9 form for you


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## silverstilts (Oct 15, 2008)

DSJOHN said:


> Ive always been under the assumption that the 1099 goes to the gvt but not necessarily the individual as long as they made out a w9 form for you


Ditto that is my understanding exactly. And also no W-9 you legally have to withhold for them and submit to the government.


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## PaRiggins (Jul 24, 2010)

You must send the Subcontractor a 1099 also. Just like you must send employees W-2s.


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## DSJOHN (Apr 5, 2010)

Pa I,m pretty sure its different state by state,Its good business practice to send one but they are responsible for their own paperwork[numbers].I,m about 95 % sure in NH you dont have to.


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## PaRiggins (Jul 24, 2010)

1099 laws are federal and apply to everyone.

http://www.irs.gov/pub/irs-pdf/i1099msc.pdf


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## silverstilts (Oct 15, 2008)

PaRiggins said:


> 1099 laws are federal and apply to everyone.
> 
> http://www.irs.gov/pub/irs-pdf/i1099msc.pdf


 Take a second look at exemptions, it states they are not required to be given to corporations. And not so sure about state to state federal laws apply to all states. My accountant explained to me 2 years ago who needs a 1099 and who doesn't. I have most general contractors that ask if I want one or not, I usually take one just to compare their numbers with mine to see if we are balanced out on invoices.


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## DSJOHN (Apr 5, 2010)

Pa ,glad youre not my accountant.


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## silverstilts (Oct 15, 2008)

DSJOHN said:


> Pa ,glad you're not my accountant.


 I was thinking the same thing, besides that if you are withholding the 2 percent because your guys are non exempt that would not make them self employed but rather one of your regular workers you then would have to make sure that you cover them under your work comp. then you would just give them a W-2


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## alltex (Jan 31, 2009)

My bookeeper told me years ago You 1099 you subs, and your subs have to be licenced and bonded.if not and you 1099 them and they don,t pay thier taxes ,you are liable. I like to do it right and run pay role.(either that or just do cash and take your chances!!)


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## PaRiggins (Jul 24, 2010)

DSJOHN said:


> Pa ,glad youre not my accountant.


And I'm glad you guys are not my clients.

All I was trying to do was explain the law and you guys are jumping all over me.

The federal law says that if you pay an individual over $600 in a year, you are suppose to send them a 1099. Corporations are exempt until 2011.


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## silverstilts (Oct 15, 2008)

PaRiggins said:


> And I'm glad you guys are not my clients.
> 
> All I was trying to do was explain the law and you guys are jumping all over me.
> 
> The federal law says that if you pay an individual over $600 in a year, you are suppose to send them a 1099. Corporations are exempt until 2011.


 Wasn't trying to jump all over you just explaining who gets a 1099 and who is exempt. If you are withholding for a non exempt subcontractor he could be considered an employee and subject to a W2 instead of a 1099. Also you would have to make sure to pay his work comp.


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## PaRiggins (Jul 24, 2010)

I didn't say anything about withholding from a sub contractor.

The only time you are supposed to withhold is if they refuse to give you their ID number. In that case the Irs says you should withhold 35% (OTTOMH).


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