Setting Up a 1099 Contractor

You use the  Consultant/Contractor Access EAN to set up a 1099 contractor. With this EAN, you are not only granting them access to ExponentHR, but also putting them on Payroll.

Note: For an existing contractor (who already has access to ExponentHR), use a Change Employment Information EAN to change the status between Paid and No Payroll. See the Related Help Topic.

Note on Completion: After the EAN is submitted to ExponentHR, it will immediately complete.

 

To set up a contractor as paid:

1.   On the Management Navigation Bar, click HR Administration > Applications > eAction Notice.

The eAction Notice (EAN) Summary page displays.

2.   Click the Create New EAN button.

The Create eAction Notice (EAN) page displays.

3.   Select the Consultant/Contractor Access EAN from the EAN type selection box and click the Create EAN button.

The Consultant/Contractor Access page displays in a new window.

Note: You do not need to select an existing employee before creating this EAN -- you will create a new consultant/contractor with the EAN itself.

4.   If a specific manager needs to be responsible for the review and approval of this new contractor request, select the appropriated manager in the Designated Approver drop-down box.

Notes:

5.   Select Paid Contractor (1099 MISC) from the Contractor Type drop-down box.

The Form 1099 MISC Information section expands.

6.   Enter the start date in the Contractor's Start Date text box.

7.   Enter the name, birth date, and gender of the consultant/contractor in the Personal Information section.

8.   If available, enter the name and contact information for the individual's emergency contact in the Emergency Contact section.

9.   Enter the home address and telephone number(s) of the consultant/contractor in the Address Information section.

10. Enter the 1099 contractor information in the Form 1099 MISC Information section.

- If the contractor wants a name other than their own printed on the check, type the name in the Payee text box.

 - If ExponentHR should not generate a Form 1099-MISC for the paid contractor, make the appropriate selection in the Suppress Issuance of Form 1099-MISC drop-down box.

- Type the contractor's TIN in the Contractor Tax Payer ID # text box.

- Type a percentage in the Federal Tax Withholding Rate text box, if necessary.

- Type the amount of any compensation received outside of the ExponentHR system this year in the Current Year Outside Compensation text box.

11.   Click the Select Position button to select the new job to which the consultant/contractor will be assigned from the Organizational Structure Management (OSM) page.

To Assign the Consultant/Contractor to an Existing Position

To Create a New Position for the Consultant/Contractor

The consultant/contractor will be assigned to the open position you selected from the OSM tree.

Note: Fields such as FLSA Status and Pay Grade are completed automatically.

12. Select the consultant/contractor's department, work location, and pay group from the drop-down boxes.

13.  If the paid contractor wants to receive pay by direct deposit, enter the necessary information in the Direct Deposit Setup section.

14. Complete the rest of the fields on the Consultant/Contractor Access EAN, as necessary.

Note: Overtime calculations for all contract employees are always suppressed.

15. Enter any notes related to the EAN in the EAN Notes text box.

16.  Click the Save as Draft button at the top or bottom of the page to keep the requested change in a drafted status so that it may be edited and submitted for completion at a later time.

Note:  When an EAN is put in a drafted status, a Draft EAN Notice with a link to the unsubmitted EAN is provided on the ExponentHR Welcome Page.

17. After entering all necessary changes to the Consultant/Contractor Access EAN, click the Submit button to submit it for approval.

Result: The EAN you just created is now visible on the eAction Notice (EAN) Summary page. An HR administrator must approve the EAN and submit it to ExponentHR for completion. After the EAN is completed, the consultant/contractor you created may log in to ExponentHR (they will have to complete the first time log in procedures as with any other employee).

Notes:

 

Related Help Topics

Changing Employment Information

Re-Routing EANs for Approval

Working with EANs

Changing Contractor from Unpaid to Paid