description Gusto for Contractors Overview
While Gusto is known for W-2 employees, its specialized contractor management tools are crucial for the modern gig economy. This specific functionality helps businesses correctly issue 1099 forms, track contractor payments, and manage the unique tax implications associated with non-employee workers, minimizing compliance risk.
help Gusto for Contractors FAQ
Can Gusto pay contractors without setting them up as W-2 employees?
Yes, Gusto has contractor management workflows for 1099 workers, separate from W-2 payroll. That distinction matters because contractors usually receive Form 1099-NEC instead of a W-2.
Does Gusto collect W-9 information from contractors?
Gusto can help gather contractor tax details such as W-9 information before payments and year-end forms. That reduces the January scramble when businesses need correct names, addresses, and taxpayer IDs.
Can Gusto handle international contractors?
Gusto is strongest for U.S. contractor payments and tax reporting. If you are paying contractors outside the United States, compare the workflow carefully with platforms like Deel, Remote, or Wise Business.
Does Gusto file 1099s for contractors?
Gusto's contractor tools are designed around year-end 1099 preparation and filing for eligible U.S. contractors. The key form to know is Form 1099-NEC, which replaced the old nonemployee compensation use of 1099-MISC.
explore Explore More
Similar to Gusto for Contractors
See all arrow_forwardReviews & Comments
Write a Review
Be the first to review
Share your thoughts with the community and help others make better decisions.