# Do I need an LLC for 1099 work?

Source: https://joinopenfile.com/use-cases/do-i-need-an-llc-for-1099-work
Index: https://joinopenfile.com/llms.txt

No. If you take 1099 work you're already a sole proprietor, with no paperwork needed. An LLC adds a layer between your work and your personal assets.

## What an LLC changes

Clients contract with your company, and you get a clean line between business and personal money. Some larger clients prefer to pay a company.

## What it doesn't change

A single-member LLC is normally ignored for federal income tax, so you still report on Schedule C and pay self-employment tax. Saving on tax usually comes from an S-Corp election, which only makes sense above a certain income. An accountant can say where that is for you.

## Questions

Will my clients send the 1099 to the LLC?

Yes, once you give them a new W-9 with the LLC's details.

We're not a law firm or a tax adviser. This is general information, not advice for your situation.

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