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Set up a 1099 vendor as an employee
Article ID: 1000360
PrintOverview
This article explains how to pay a 1099 vendor as an employee.
Assumptions
You have an active QuickBooks subscription.
Expected Outcome
You can set up the vendor as an employee.
Details
If you use Assisted Payroll service, call 888.712.9702 for assistance. The following steps do not resolve this issue for your version of QuickBooks.
To change a 1099 vendor to an employee:
You must have the check dates and check numbers as well as the amounts.
Print all checks paid to the vendor records in QuickBooks.
After printing, right click and delete each check individually.
QuickBooks does not allow you to have a vendor record and an employee record with the same name. If you don't want to delete the vendor record, change the name slightly and save the record. This way, the employee name is not identical.
Enter the prior payments as paychecks.
If you override the taxes to be zero, QuickBooks attempts to collect them on the next paycheck.
