If you hire an individual to perform services for your business and they are not an employee, they are considered an independent contractor (also known as 1099 contractors). Payments to 1099 contractors must be tracked so that you can report this information to the IRS at the end of the year. To ensure that payments are tracked properly, you will need to set up contractors in QuickBooks; add an account to post all payments to; pay contractors with a paper check, EFT, or debit/credit card; and provide a 1099 form to all the contractors who meet the threshold at the end of the year. If the total payments to a contractor equal $600 or more, you must issue a 1099 form and report this information to the Internal Revenue Service. Failure to track and report payments to 1099 contractors could lead to penalties and fines. In this chapter...
Mastering QuickBooks 2020
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Mastering QuickBooks 2020
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Overview of this book
Intuit QuickBooks is an accounting software package that helps small business owners to manage all their bookkeeping tasks. Its complete range of accounting capabilities, such as tracking income and expenses, managing payroll, simplifying taxes, and accepting online payments, makes QuickBooks software a must-have for business owners and aspiring bookkeepers.
This book is a handy guide to using QuickBooks Online to manage accounting tasks and drawing business insights by generating reports easily. Using a fictitious company, the book demonstrates how to create a QuickBooks Online account; customize key settings for a business; manage customers, vendors, and products and services; generate reports; and close the books at the end of the period. QuickBooks records your debits and credits, so you don't need to learn accounting. However, you will find out what happens under the hood and understand how your financial statements are impacted by what you do in QuickBooks. You'll also discover tips, shortcuts, and best practices that will help you save time and become a QuickBooks pro.
By the end of this book, you'll have become well-versed with the features of QuickBooks and be able to set up your business and manage all bookkeeping tasks with ease.
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Current Title:
Mastering QuickBooks 2020
Table of Contents (19 chapters)
Preface
Free Chapter
Getting Started with QuickBooks Online
Company File Setup
Migrating to QuickBooks Online
Customizing QuickBooks for Your Business
Managing Customers, Vendors, Products, and Services
Recording Sales Transactions in QuickBooks Online
Recording Expenses in QuickBooks Online
Managing Downloaded Bank and Credit Card Transactions
Report Center Overview
Business Overview Reports
Customer Sales Reports in QuickBooks Online
Vendor and Expenses Reports
Managing Payroll in QuickBooks Online
Managing 1099 Contractors in QuickBooks Online
Closing the Books in QuickBooks Online
Handling Special Transactions in QuickBooks Online
Shortcuts and Test Drive
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