Payroll module for AP Vendor?

[Keats]

We have a (non-employee) groundskeeper who I have as a Vendor in the AP module. He gets a 1099-MiSC. I noticed that in Maintain Item Descriptions there is a search option and a field for the AP Vendor on the tax item descriptions. My question is: Should I add a Pay Group for non-employees and pay the groundskeeper from the Payroll module? I currently write a check from the AP module and I have the 1099-MISC box checked for this person. Also, what is the purpose of the AP Vendor field in Maintain Item Descriptions in Version 11 if the check should be written from AP?

[JohnDMeyers]

Disclaimer - I am not, nor never was, an accountant.

I believe that you want to keep the 1099s as an expense and not have it in the payroll section.

I don't know if there is such a thing as a 1099 employee. I think they are mutually exclusive.

That's my $0.02

[tborgal]

That field only shows for withholding or liability items. I believe it is for the vendor you will be sending the withholding or liability to. This has no relation to independent contractors which would receive a 1099. You are using the correct procedure currently.

Just looked it up in the help file and here is the answer to the question:

♦ AP vendor. When writing a check at the end of the month or quarter, this is the Accounts Payable vendor that will be used. For more information, refer to Adding Vendor Records and Create Accounts Payable Entries for Deductions. This is an optional field. Use the Lookup button to choose an existing vendor from a list, or click the Add Vendor button to add a new vendor.

This can be found under help under the Contents tab Payroll> Getting Started> Maintain Item Descriptions.

[Keats]

Thanks for the information and verification that the way I am doing it is correct!