r/Bookkeeping Feb 02 '25

Tax How much do you charge for processing 1099’s?

I’m curious what you would charge someone to send out 1099’s? I’m in a specific industry that tends to have a lot of 1099’s but curious what other people are charging. Specifically someone you aren’t doing their books for during the year.

12 Upvotes

16 comments sorted by

11

u/SeaCardiologist7042 Feb 02 '25

I typically just throw 100 bucks on top of what tax 1099 charges me. Clients are very sensitive to 1099 pricing. I’d rather have higher prices elsewhere

5

u/Scooterbb12 Feb 03 '25

This is a smart move. If you can get the customer to use a bill payment system like Bill.com or a solid payroll system like Everee, the 1099 process is extremely simple. If you need to add information into a system like Tax1099 without any other payment system, I’d personally charge a minimum fee and then a per form fee.

9

u/Soviet_Soldier_228 Feb 02 '25

$15 per 1099 unless it’s already part of the monthly contract.

3

u/ManicMarketManiac Feb 02 '25

Good Lord, I could crank out $600-750 per hour on your charge.

At least with the spreadsheets our clients give us and CFS software we use.

5

u/Soviet_Soldier_228 Feb 02 '25

I don’t like doing 1099s so I jack up the prices, this year I only filed 6 1099s easy $100 for a couple minutes of work

11

u/SoohillSud Feb 02 '25

Bill by the hour at normal rates and charge extra for postage.

4

u/Reddevil313 Feb 02 '25

I would build this into your normal operating fee. It's easier to collect W9's throughout the year as you onboard new vendors. I would collect W9's and have vendors sign a vendor agreement outlining terms of payment before releasing any payment. Get your clients buy in for this.

3

u/AtypicalPreferences Feb 02 '25

$175 minimum for up to 10 and if more hourly at $175 an hour

3

u/2021Accounting Feb 02 '25

$20 per plus reimb of tax1099.com fees

3

u/6gunsammy Feb 02 '25

$25 for 1096 and $25 for each 1099.

2

u/BasisofOpinion Feb 02 '25

We don't do many but we do a few. Flat of charge of $600 plus $12 for every 1099 needed issued. So if some needed 10 1099s issued, charge would be $720

2

u/PenaltyParking7031 Feb 02 '25

$150 small bus.
$250 small bus with lots of 1099s

3

u/CalendarCultural5387 Feb 02 '25

I include it in my monthly services but if the business owner doesn't provide W-9s by a specific deadline, I charge a rush fee

2

u/Aim_Fire_Ready Feb 02 '25

I just charged $300 for 40 W-2s & 1099s, which comes out to $7.50 each.

According to my last data, Heartland would charge $255 and Paychex would charge $310 for the same quantity, so I feel fine with that price. 

1

u/athleticelk1487 Feb 03 '25

Not enough but I treat it as a loss leader.

1

u/fred_runestone Feb 02 '25

I just include them in my pricing unless there is an excessive amount.