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Explain a situation where a W-2 should be prepared for an employee and a situation where it would NOT be prepared for an employee.
I can’t think of a reason to put someone on W2 instead of a 1099. If the need is for a permanent, full time position, then W2 is generally the way to go. [ If the work doesn’t fit this category, I can’t think of a reason to use a W2 employee. Well, they kind of got it right. It seems there is a trend to move more and more work to Independent Contractors rather than hire employees directly onto
payroll. The answer above is missing a few very critical points, particularly what is the legal definition of a contractor; and can my job be filled by a 1099 worker or must I use a W2 employee? ]
Expert answered|smileytrip|Points 32|
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Asked 9/6/2012 5:09:25 PM
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