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April 15, 2023
Question

Received retention bonus for child care workers from the Iowa DHS. Entering the 1099-NEC, none of the "uncommon situations" apply and the next page is "New Business"?

  • April 15, 2023
  • 1 reply
  • 0 views
I'm not sure how to proceed with the 1099-NEC.

1 reply

April 17, 2023

You can enter the 1099-NEC this way if it was not received for self-employment

 

  1. Wages & Income
  2. Other Common Income
  3. Select Income from a 1099-NEC
  4. Enter the payer's name
  5. EIN Number
  6. Amount you received
  7. Describe the reason for this 1099-NEC = Retention bonus
  8. Does one of these uncommon situations apply?
  9. Click This is not money earned as an employee or self-employed individual, 

Select This is not money earned as an employee. It is from a sporadic activity. 

  • It was not a regular payment, it was a one-time event.
  • This was a bonus to keep you as an employee - not part of your regular earnings.
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