If you pull in other artists to work on gigs *with you*...

Here is a dilemma I am up against. I work hard on marketing my services and then making sure to really please the clients, so that I get more bookings! So far the hard work is paying off and I am getting calls for events that need 2-8 artists (mostly mega churches and corporations). I really LOVE that because most of the artists in my area are very close, and we get along, and it is nice to help others find bookings (I believe in karma).

To make things simple, I just charge the company for all of the artists, and have them write one big check to me, and then I simply hand over the money to the other artists. I don't mind doing that.

However, these companies ask for my W9 and then at the end of the year the IRS thinks that all $1,500 (or whatever) came to me, when it was really spread over all the artists! Can you see how that is a problem, LOL?

I need help on how to structure this. The easy answer is to let the company write out 8 (or however many) separate checks. There are a few reasons this won't work: 1) I want to make it simple for the company, 2) because sometimes I have to substitute one artist for another at the last minute, and 3) (most importantly) because I don't want the large company knowing that I usually take 10-15% as a "finder's fee" (for all the hard work arranging the gig, coordinating design boards and training everyone on the designs, and the marketing efforts).

Can anyone help me figure this out? How to keep everyone else's income off of my W9 while still keeping the fact that I take a % hidden from the client. (By the way, I know that I am not doing anything nefarious by taking a finder's fee - I know that industry standard is 20-50%, and there are some bouncy house places that take up to 70-80%. In fact, I take far less than I should, I think. I am okay with that! It just feels so "weird" to me... the client knowing this fact, because I know they do not understand the system)

Thanks all! Looking forward to seeing what you all think. Barbie

You can either take a larger cut or issue 1099s to your crew.
That's all I can think of.

Thanks Diane. I posted this on the FABAIC forum and the general agreement was to issue 1099's to the artists, to offset the large ones that were incoming from the company. Perfect. Thanks for your help!

When booking Faces 4 Fun, you can be sure of receiving a professional, friendly service. I strive to paint to the highest standard and really love what I do! For your peace of mind I am CRB checked and hold full public liability insurance. Book early to avoid disappointment as the diary is filling up quickly!

Really.... just no idea lol. Some times i hire a balloon twister friend and we do things the same way. Company give me one check, i give the twister their money on the day. I simply write them off an expense on my taxes. They are 'subconractors' not employees. So they shouldn't be included in your earnings.

But don't take my word for it, I SUCK at taxes lol.

Also not that it matters, but taking a % cut is totally par for the course and no weird at all. Very standard.

That's what I was going to suggest. They're subcontracting for you and not employed by you, make them give you an invoice and factor them into your expenses. The whole 1099 thing seems like too much work.

Not in the states. If you pay them more than $600, the Federal Govt. requires you to issue a 1099. Your accountant will fill it out & mail "COPY B For Recipient" to your helper. You'll need their name, address, social security # or, if they have one, their FEDERAL ID # for the form. Your accountant will have your info on the form. If you don't have an accountant, the IRS has centers where you can get free, UP TO DATE advice. Good luck.

Thanks, Pat.
I've never had this situation.
I fly solo.

Diane, I work often, for another face painter. I do get a 1099 from her. When I have others cover for me or work w/me @ events that require more than one artist, I usually have a check issued to each artist. My teen helpers either get paid by me up to $600 or receive their own checks from the event.