1099 vs W2: Which One Are You? (And How to Invoice)

In the US (and with similar parallels globally), workers fall into two buckets. Knowing which one you are is critical for avoiding tax fraud.

W2 (The Employee)

• Who: The company controls when/how you work.
• Taxes: Withheld automatically from your paycheck.
• Invoicing: You do NOT send invoices. You receive a payslip.

1099 (The Contractor)

• Who: You control your own schedule and methods.
• Taxes: You pay your own taxes later (nothing is withheld).
• Invoicing: You MUST send invoices to get paid.

If you are a 1099 worker, you are a business owner. You need to use an Invoice Generatorto bill your clients professionally.