Gusto files electronic 1099-MISC forms for all contractors that have been paid through Gusto within the calendar year. Gusto will only fill out Box 7 (nonemployee compensation), but there are several other boxes on the form. Here’s what they mean:
Box 1: Any rent paid to the contractor over $600 including land, property, and machine rentals.
Box 2: Any royalties paid to the contractor over $10 including oil, gas, and/or mineral earnings.
Box 3: Any other income over $600 including prizes and/or awards.
Box 4: Federal income tax that has already been withheld during the year.
Box 5: Income earned on a fishing trip and distributed amongst the crew.
Box 6: Medical and healthcare costs that exceed $600 during the course of the contract.
Box 7: Any earnings processed through Gusto as a contractor (nonemployee compensation). Gusto will take care of this box on your behalf.
To view a copy of the 1099-MISC that we’ve prepared for you, follow these steps:
- Click the Documents tab.
- In the Company tab, click 1099: Miscellaneous Income for the applicable year.
The 1099 package will be available for payroll administrators to review in early January, and then made available to contractors later in the month.
If you would like to file the 1099 forms outside of Gusto, email us at firstname.lastname@example.org with your business name and the impacted contractors.
Note: We don't file the cover sheet Form 1096 since this is only a requirement for paper filings. The descriptions of the boxes are simplified and there are other things to consider when filling out each box. Learn more about how to fill out Form 1099-MISC from the instructions provided by the IRS.