What's the difference between a W-9 and a 1099?

A W-9 goes one direction: you (the freelancer) fill it out and give it to your client, providing your legal name, address, and Taxpayer Identification Number (SSN or EIN) before you're paid. A 1099-NEC goes the other direction: your client sends it to you (and the IRS) after the year ends, reporting how much they paid you. The W-9 is what makes the 1099 possible — it's where the client gets the info to fill one out correctly.

When will I receive a 1099-NEC?

For 2026, a client must send you a 1099-NEC if they paid you $2,000 or more in nonemployee compensation during the year — a threshold that was raised from the longstanding $600 figure starting with tax years after 2025. Below that amount, they're not required to issue one, though you're still responsible for reporting all your income either way.

Do I still owe tax on income under $2,000 if I don't get a 1099?

Yes. The 1099-NEC threshold only affects whether your client is required to report the payment to the IRS — it doesn't change your own obligation to report all your self-employment income, regardless of whether a 1099 was issued for it.

As a freelancer, should I fill out a W-9 even for a small job?

Generally yes, if a client asks — there's no dollar threshold that determines whether a client can request one, and providing it upfront (before you're paid, not after) avoids a delay or a client having to withhold tax from your payment for not providing it (backup withholding).

I hire freelancers myself. What do I need to do?

Collect a completed W-9 from each contractor before paying them, not after. At year-end, if you paid a contractor $2,000 or more for the year, issue them a 1099-NEC by the deadline. Some states haven't adopted the new $2,000 federal threshold for their own state-level filing requirements, so check your specific state's rules rather than assuming the federal number applies everywhere.

W-9 and 1099 Basics for US Freelancers

Two forms, two directions, and one number that changed for 2026 — here's what freelancers and the businesses that hire them each actually need to do.

By InvoiceFlow Canada Team · Updated July 19, 2026

Quick answer

A W-9 is what you (the freelancer) give your client before being paid, providing your name and tax ID. A 1099-NEC is what your client sends you after year-end, reporting what they paid you — required once they've paid you $2,000 or more in a year (raised from the longstanding $600 threshold starting with 2026 tax years). The 2026 filing deadline is February 2. You owe tax on all your income either way, regardless of whether a 1099 was issued.

W-9 and 1099 basics for freelancers and the clients who hire them

1
As a freelancer: fill out a W-9 before you're paid
Provide your legal name, address, and SSN or EIN to any client who requests one — before the engagement starts, not after you've already invoiced.
2
Invoice normally throughout the year
Your invoices and your 1099 are separate documents serving different purposes — keep invoicing as usual regardless of W-9/1099 status.
3
Track your own income regardless of what 1099s arrive
You're responsible for reporting all self-employment income on your tax return, whether or not a client issues you a 1099-NEC for it.
4
As a client hiring freelancers: collect W-9s upfront
Request a completed W-9 from every contractor before the first payment, so you have what you need to file correctly at year-end without chasing anyone down in January.
5
File 1099-NECs by the deadline
For 2026, the deadline is February 2 (the standard January 31 deadline rolled to the next business day) — for any contractor paid $2,000 or more during the year.

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