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Service

W-2 and 1099 Preparation Services

Every employer has the same two January obligations: W-2s to employees and the Social Security Administration, and 1099s to contractors and the IRS. Finalert prepares, reconciles, and files both, so the forms go out accurate and on time.

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6 things this engagement covers, and a 8-step process.

Who it is for

Who this is for.

  • 6 things this engagement covers, listed below with what each one includes.
  • A 8-step process, the same one on every engagement.
  • 6 questions answered on this page.

Overview

Finalert covers the complete W-2 and 1099 cycle: collecting and validating payee data, reconciling wage and payment totals against the general ledger, generating the forms, distributing copies, and filing with the SSA and IRS by the January 31 deadline.

Year-end reporting pulls from a full year of payroll runs, contractor payments, and benefit records. Small discrepancies between those records and what gets filed are what trigger notices, penalties, and amended returns. Getting it right starts well before January.

We also handle the follow-through that most firms skip: TIN matching before filing, corrections when a payee reports an error, and state filing where required.

A poorly managed worker’s compensation program can result in higher insurance premiums, legal penalties, and employee dissatisfaction. Our approach focuses on efficiency and accuracy, ensuring that claims are processed fairly while protecting businesses from fraudulent or exaggerated claims.

At Finalert, we use advanced tracking systems and risk assessment tools to help businesses identify workplace hazards, reduce injury rates, and maintain compliance with labor laws. By proactively managing worker’s compensation, we help businesses create a safer work environment and reduce long-term costs.

What you get

What the engagement covers.

6 items

  • W-2 Preparation & SSA Filing

    Preparing employee W-2s, reconciling to payroll, and e-filing with the Social Security Administration.

  • 1099-NEC & 1099-MISC Preparation

    Preparing contractor and vendor forms and e-filing with the IRS.

  • Payee Data Collection & W-9 Management

    Collecting W-9s and W-4s and validating names, TINs, and addresses before filing.

  • Wage & Payment Reconciliation

    Tying W-2 and 1099 totals to payroll registers and the general ledger.

  • State & Local Filing

    Handling state year-end submissions and local wage reporting where required.

  • Corrections & Amended Forms

    Preparing W-2c and corrected 1099s when payee details or amounts change.

How it runs

How the work runs.

Finalert runs a structured year-end reporting process with fixed checkpoints from October through January. Each step has a defined owner and date, so nothing depends on a last-week rush.

The process closes with confirmed SSA and IRS acceptance records for every filing, retained with your year-end file for audit support.

  1. 01

    Payee Data Review

    Confirming W-9s and employee records are complete, with TINs validated.

  2. 02

    Quarterly Reconciliation

    Tying payroll and contractor payment totals to the ledger through the year.

  3. 03

    Classification Review

    Checking contractor relationships against IRS worker classification rules.

  4. 04

    Draft Form Generation

    Producing draft W-2s and 1099s for review before anything is filed.

  5. 05

    Employer Review & Approval

    You confirm totals and payee lists before distribution.

  6. 06

    Distribution & E-Filing

    Sending copies to employees and contractors, then e-filing with the SSA and IRS.

  7. 07

    Acceptance Confirmation

    Retaining filing acceptance records with your year-end file.

  8. 08

    Corrections Window

    Preparing W-2c or corrected 1099s promptly if a payee reports an error.

Our approach

How we approach it.

Our approach treats year-end forms as the output of clean payroll and vendor records, not a January scramble. We reconcile quarterly, so by year-end the totals on Form W-3 and Form 1096 already tie to the books.

Contractor classification is reviewed before forms are prepared, not after. If a worker looks misclassified, we flag it early enough to fix the treatment for the current tax year.

A corner of an open-plan office workspace

If a worker looks misclassified, we flag it early enough to fix the treatment for the current tax year.

On-Time Filing

Forms distributed and filed by the January 31 deadline, with acceptance confirmations retained.

Fewer Notices

TIN matching and reconciliation before filing reduce IRS and SSA mismatch notices.

Correct Worker Classification

Employee versus contractor treatment reviewed before forms are prepared.

Clean Year-End Records

W-3 and 1096 totals that tie to the books, ready for audit or lender requests.

Less January Workload

Quarterly reconciliation spreads the work across the year instead of one month.

Support After Filing

Corrections, reissues, and payee questions handled after the forms go out.

Proof

What clients say, and what the work has done.

  • 110+ U.S. businesses served
  • 100% client satisfaction
  • 111 services we run

Finalert is an outstanding accounting, financial advisory and analytics company that delivers a wide range of services and solutions with the highest level of professionalism. Their expert team, with whom I have personally worked, possesses exceptional skills that enable customers to meet their financial and accounting needs seamlessly. Their dedication to excellence and customer satisfaction sets them apart, making them a trusted partner in the industry.

Wajdi Al MowafakDirector, Financial Business · Nonprofit
Recent engagement CWS Global Nonprofit & Humanitarian 50% faster month-end close Real-time grant and donor visibility Audit-ready compliance Read the case study

Questions

Common questions.

Common questions employers ask us about W-2 and 1099 preparation, deadlines, and corrections.

When are W-2s and 1099s due?

Both must be furnished to recipients and filed by January 31. W-2s go to the Social Security Administration, 1099-NEC forms to the IRS.

Which contractors need a 1099?

Generally, unincorporated contractors and vendors paid 600 dollars or more in the year for services. We review your vendor list to confirm who qualifies.

What happens if a form is filed late or wrong?

The IRS assesses per-form penalties that increase the longer a filing is late or uncorrected. Accurate, on-time filing avoids them; if an error surfaces, we prepare corrections quickly.

Can Finalert file in every state?

Yes. We handle state year-end wage and 1099 submissions wherever your employees and contractors are located.

What do you need from us to start?

Access to your payroll records and vendor payments, plus W-9s on file. If W-9s are missing, we run the collection for you.

Do you handle electronic delivery?

Yes. With payee consent, forms can be delivered electronically, alongside required paper copies for anyone who opts out.

About W-2 and 1099 Preparation Services

Ready for numbers you can build on?

Talk to a Finalert consultant about your books, your reporting, or the decision you are trying to make.

110+ U.S. businesses served

What happens next

  1. A twenty-minute call An accountant on the line, not a salesperson.
  2. A scope and a price, in writing What the work covers, and what it costs.
  3. Onboarding on your schedule We start when you are ready, not before.

Monday to Friday, 8:00am to 5:00pm ET Cleveland and New York