W-9 vs 1099: what's the difference?
They're related but do different jobs. One collects a contractor's information; the other reports what you paid. Here's how they connect.
Two forms, one workflow
If you hire US independent contractors, you'll encounter both forms. The W-9 is how you collect a contractor's tax details before you pay them; the 1099-NEC is how you report those payments to the IRS after the year ends. You use the data from the W-9 to complete the 1099.
The W-9: collecting information
Form W-9 is filled out by the contractor and given to you. It provides their legal name, business name, federal tax classification, and taxpayer identification number (SSN or EIN). You keep it on file — you don't send it to the IRS. Collect it before the first payment so you're not chasing details at tax time.
The 1099-NEC: reporting payments
If you paid a contractor $600 or more during the year for services, you generally file Form 1099-NEC to report the total. You send one copy to the contractor and one to the IRS, typically by the end of January. The information comes straight from the W-9 you collected.
How they connect
Think of it as before-and-after: W-9 before you pay (collect info), 1099-NEC after the year (report payments). Getting a signed W-9 up front, alongside a written independent contractor agreement, makes year-end 1099 filing straightforward and keeps you compliant.
Keep going
Frequently asked questions
Do I send the W-9 to the IRS?
No. You keep the W-9 on file. You use its information to prepare the 1099-NEC, which is what gets filed with the IRS.
When is a 1099-NEC required?
Generally when you pay a US independent contractor $600 or more for services during the calendar year.
What if a contractor won't provide a W-9?
You may be required to apply backup withholding on payments. Always collect a signed W-9 before the first payment to avoid this.