How to pay someone via 1099?

General Real Estate Investing
1

I have a friend that I’m considering “hiring” as my property manager for an out of state rental. Now, I would only need him to go to the property when I am showing it to new tenants and maybe once a month just to check up. I figured it would make most sense to just do 1099 whenever he actually performs work, i.e. per assignment/contract. So, how would my LLC pay him via 1099? What paperwork/filing is needed to set it all up? Anybody have a How-To website or pamphlet? Or, maybe there’s a better way to handle this? Thanks.

Dean

2

Pay him with a check for services rendered and then you send the 1099 to him at tax time. Have your CPA handle the paperwork to make sure it is done right.

3

IRS instructions