MonkeyPod comes with the ability to generate 1099-NECs for your organization!
To make this work, MonkeyPod needs two things to happen first:
- MonkeyPod needs to know which vendors are 1099-NEC Eligible, which is a checkbox setting when editing a relationship with the vendor role
- Make sure to tell MonkeyPod which expense account(s) map to 1099-NEC Eligible payments
How do I mark a vendor 1099-NEC Eligible?
Marking a vendor 1099-NEC Eligible is easy! Just follow the steps below:
1. Make sure the entity you would like to generate the 1099-NEC for is marked as a Vendor
2. When you have verified this, select "Edit Details" for their record
3. From here, make sure that you have entered a Tax ID Number as well as their W9
4. Lastly, check the "Non-employee contractor eligible to receive a 1099-NEC" box as shown below, and you have now made them 1099-NEC Eligible!
How do I map an expense account to 1099-NEC Eligible payments?
To mark an expense account 1099-NEC Eligible, all you need to do is edit the expense account. Check out how to do that below!
1. Go to your chart of accounts
2. Go to your expense accounts
3. Click on the account you would like to make 1099-NEC Eligible. In our example, we are going to make a Fees and Commissions: Playwright account 1099-NEC Eligible
4. Click the three dots and hit "Edit"
5. Scroll to the bottom and mark the account as "1099-NEC: Box 1 (Non-Employee Compensation)"
How do I run my 1099-NECs?
To run your 1099-NECs, go to "REPORTS" and select "1099-NECs".
Be sure to read all information and check with your accountant!
When you are ready, select the year and then Select "Export 1099-NEC Data".
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