I'm just wondering out loud here... for those that employ DJs while providing the equipment and music, what or how do you determine their pay?
If I supply the gear, they get half the take (they keep any tip). If they supply the gear, they take 2/3. Seems to be working out fine, so far. I had a guest at an event a few months back who said he used to DJ for the big boy multi-op in Knoxville. He said they paid $75-$100 and their base booking rate was $700.
Hmmmmm, think I know who your referring to but I thought their base price was $1500 :tribiggrin:
Welcome back Kris. If the Client is paying the DJ's portion directly to the DJ and you also acknowledge that you are trying to bypass the 1099s, then you need to quit using terms such as " I have 7-8 guys working for the company ". That in itself is an acknowledgement of an "Employee Status". You may want to use the phrase I have X amount of guys working WITH me.Man...been awile! I have 7-8 guys working for the company and after trying out a lot of different ways to get everyone paid quickly and easily for the client this is what I do. Depending on the gig I take anywhere from 25-35% so I make that the deposit to secure the booking. The client mails in a check for the deposit amount along with the contract upon booking, and pays the balance due (written to the DJ directly) the night of the event. That way I eliminate as much of the 1099 burden I need to worry about at tax time, the DJ is happy to be paid for a job well done and all is well. Have a great St. Pattys weekend everyone!
Welcome back Kris. If the Client is paying the DJ's portion directly to the DJ and you also acknowledge that you are trying to bypass the 1099s, then you need to quit using terms such as " I have 7-8 guys working for the company ". That in itself is an acknowledgement of an "Employee Status". You may want to use the phrase I have X amount of guys working WITH me.
Also if the Contract is in your (Business) name, you will have to answer to the IRS as to where the whole amount of money listed in the contract went. This is the very reason why they created the 1099s in the first place. Are you consulting with a Tax Attorney and CPA about all this? I am neither of the two so don't just take my word for it.
Also if the Contract is in your (Business) name, you will have to answer to the IRS as to where the whole amount of money listed in the contract went.
After a certain amount you will have to use 1099s.Thought I'd add in something here. Use Paypal to pay your DJs. You can send the money as a personal gift and it avoids the 3% service charge. Using paypal also gives you a way to download a spreadsheet of all transactions for the year. Makes it incredibly easier to get an accurate listing of who got paid how much. All my guys will be getting PP this year.
After a certain amount you will have to use 1099s.