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What are my options for collecting my last paycheck at my previous employment?

What are my options for collecting my last paycheck at my previous employment?

Q: Do contractors get 1099-MISC or 1099-NEC?

Contractors typically receive a 1099-NEC form, which is used to report non-employee compensation. The 1099-MISC form is generally used for other types of payments, such as rent or royalties. Since 2020, the IRS has specifically designated the 1099-NEC for reporting payments to independent contractors.

Q: Does the state of Michigan require 1099 filing?

Yes, Michigan requires businesses to file 1099 forms for payments made to independent contractors if those payments total $600 or more in a calendar year. This is to ensure proper reporting of income for tax purposes. It's essential for both the payer and the contractor to keep accurate records of these transactions.

Full question:

In the state of Michigan: If the company you worked for have you sign both a contractual worker form and a "At Will" documents (which will make you receive a 1099 tax form), and you left your place of work after being informed of layoff and cut hours. You left with short notice due to another job offer. Does the company in which you worked for have the right to keep your last paycheck? What is the time limited for that company to pay you before you can file ledgal actions?

Category: Employment
Date: 04/07/2025
State: Michigan

Answer:

Please see the information at the following link:

http://www.michigan.gov/documents/Brochure_390_R_5_5_05_130750_7.pdf

This content is for informational purposes only and is not legal advice. Legal statutes mentioned reflect the law at the time the content was written and may no longer be current. Always verify the latest version of the law before relying on it.

FAQs

How do I file taxes as a contract employee?

As a contract employee, you typically file taxes using Form 1040 and report your income on Schedule C, which details your business income and expenses. Since you receive a 1099 form, you'll also need to include that income when filing. It's important to keep records of all your earnings and any business-related expenses, as these can help reduce your taxable income. Consider consulting a tax professional for personalized advice.

Are contract employees 1099 or W-2?

Contract employees are usually classified as independent contractors and receive a 1099 form, specifically 1099-NEC, for non-employee compensation. In contrast, employees receive a W-2 form, which reports wages and tax withholdings. The classification affects how taxes are reported and paid, so it's important to understand your employment status.

Do contractors get 1099-MISC or 1099-NEC?

Does the state of Michigan require 1099 filing?

What is the tax form for contract employees?

Contract employees typically use Form 1040 to file their personal income taxes, along with Schedule C to report income and expenses related to their contract work. They will also receive a 1099-NEC form from their clients, which details the income earned as an independent contractor. Keeping thorough records is crucial for accurate reporting.

Can you be both an employee and an independent contractor for the same company?

Yes, you can be both an employee and an independent contractor for the same company. However, the roles must be clearly defined, and the work performed in each capacity should be distinct. Each role will have different tax implications and reporting requirements, so it's important to understand the differences and maintain accurate records.