Should I fill out a W9 form? (shooting for local newspaper)

[RaymondXTi]

My friend's mother is an editor for a local Christian newspaper that is pretty big in the area and told me they're always looking for freelance photographers to cover events and whatnot. She's offered me a bunch of events coming up and gave me a W9 form to fill out for payment. Is there ANY negative consequences that could come from filling out the W9 form for them, as far as my tax refunds each year, or anything like that goes? I already have a part time job (35 hrs) and am a full time student as well (college), this would just be an additional income on the side, when I'm available for the events.

Do I go ahead and fill out the W9 with my SS# and info and make some money? I've just never heard of this form until today and wanted to get some advice from the pros on here, or anyone for that matter. Obviously I'd be getting paid, but we haven't discussed how much. Is that something I should ask (sign a contract?) about before turning in the W9?

Any advice would be great, thanks!

[tracknut]

If they're going to pay you, they need your ID#, and this is as good a way as any other to get it. There is an implication though, that you're going to be paid hourly rather than selling them photos as a business yourself. So it does seem like the order of things ought to be more like:
1. Figure out if you're taking an hourly wage, or whether you're going to have your own business and sell them photos (there certainly is an implication on who owns the copyright in this decision)
2. Discuss relevant pricing with the customer and agree on something
3. If #1 is "hourly" then fill out W9

Dave

[RaymondXTi]

Appreciate it man. Gonna go ask her some questions! haha

[DonW]

No. If they ask you to fill out a W4 they are hiring you as an employee. A W9 is for contractors. This means they will file with the IRS all the money paid to you thus you have to report it as income on your personal taxes.

Don

[RaymondXTi]

^sooo, NO I shouldn't fill it out at all?

[egordon99]

^^^Yes, you'll have to pay taxes on it no matter what, and I'd think the newspaper won't pay (or hire) you if you don't fill it out.

[egordon99]

this would just be an additional income on the side, when I'm available for the events.


for which you'll have to pay taxes on ;)

[DonW]

^sooo, NO I shouldn't fill it out at all?


If you want to work for them then fill it out. Just understand that you MUST claim the income. The IRS will be aware if you dont.

Don

[RaymondXTi]

Yeah I know that lol. Anyways, she responded, I removed the personal info:

I need the W-9 form filled out because my accounting people won’t pay anyone without it. You’ve got to be in the system.

Yes, payment is involved. It’s a per assignment fee — $100 plus mileage and tolls — for up to 5 photos. We retain the right to those 5 photos. If you send us more, and we use more than 5, we pay you $25 apiece for each additional one that we use. I am attaching our payment rules, etc., so you can read more about what those rights entail but my understanding is that while we retain the right to use them forever, you can re-sell them after 30 days.

I have no problem with you posting those photos on your Web site. I have another freelancer (now in Washington, DC) who did the same thing.

So I'll get paid $100 per event (which is always less than 3hrs), be reimbursed for gas/tolls, and retain rights to all the images I take (except for the first 30 days for whichever they choose to use). I checked the attachment she added to the email and it says the same thing.

The website for the newspaper is: http://www.thefloridacatholic.org/


Sound okay/legit/normal/good enough to fill out the W9?

[DonW]

Im sure its fine. Personally I would only use my EIN on a W9. If you plan on being legit then you can get one easily.

Don

[RaymondXTi]

Excuse my newbness... EIN?

[DonW]

Excuse my newbness... EIN?

Employer ID number. In VERY simple terms its your business equivlent to your SSN. Prevents ID theft and helps seperate business from personal.

Don

[jacuff]

Apply online starting here:
http://www.irs.gov/businesses/small/article/0,,id=102767,00.html

[jacuff]

Yeah I know that lol. Anyways, she responded, I removed the personal info:



So I'll get paid $100 per event (which is always less than 3hrs), be reimbursed for gas/tolls, and retain rights to all the images I take (except for the first 30 days for whichever they choose to use). I checked the attachment she added to the email and it says the same thing.

The website for the newspaper is: http://www.thefloridacatholic.org/


Sound okay/legit/normal/good enough to fill out the W9?

Sounds normal, but you better ready again. You do NOT retain the rights... the publication does and they have them forever. You get a license after 30 days for resell. Do you get to resell the image royalty free or is the resell only for prints? Maybe the attached document says more.

You said it was your friend's mother, so you should have a better understanding of how legit it is. Just by visiting the page, it looks legit to me. And $100 + reimbursement for gas and tolls isn't bad at all for a stringer. If you want the job, you gotta fill out the W-9. Just remember to keep up with ALL costs as they might help you itemize your deductions next year for this years tax.

[zelseman]

Im going to go out on a limb and say, "I hate taxes".
Okay, carry on.

[RaymondXTi]

I hate taxes too, haha. I'm gonna go ahead and fill out the W9 though. Thanks everyone!

[buddha12708]

Let me add a little about taxes for you. The paper won't be taking out withholding for you as they would an employee. As a contractor, you are considered to be self employed. You will have to pay all of your taxes on your contractor income at the time you file, so set aside enough money to do that and send it in when you file.

[Moschero]

You will have to deduct federal, state, local (if any) income taxes, PLUS social security withholding, and if you're in california, it's possible you'll have to deal with workmans compensation too. Lets not forget medicare premiums too. Just take a look at all those little boxes on any paystub you have laying around and you'll see what I mean. You can however claim deductions against that, but for an individual with an income of roughly 40k to 60k you may have a hard time meeting the minimum threshold of roughly 8000 dollars in deductions to even claim it. I'm not trying to discourage you but I am trying to illustrate why you're probably want to set aside about 55% of what they pay you to make sure you have your tail covered when tax time rolls around.