How to Save Your Time Filing 1099 Forms in 2025

Save Your Time Filing 1099-Forms in 2025

Filing 1099 forms is a crucial responsibility for business owners, but it often becomes a time-consuming and tedious process. Gathering vendor information, ensuring accuracy, complying with IRS regulations, and meeting 1099 deadlines can be overwhelming, especially when done manually. However, with the right strategies and tools, you can save your time filing 1099 forms, reduce errors, and ensure compliance with ease.

This guide will walk you through the best ways to simplify and speed up your 1099 filing process in 2025, covering essential topics such as common challenges, best practices, and the best software for 1099 filing. By the end, you’ll have a clear road map to streamline your workflow and focus on growing your business instead of struggling with paperwork.

Common Challenges Small Business Face in Filing 1099 Forms

Before exploring time-saving solutions, let’s first address the biggest hurdles business owners face when handling 1099 filings. Many businesses, especially small and mid-sized ones, struggle with 1099 compliance due to the following factors:

1. Manual Data Entry is Time-Consuming and Error-Prone

Many business owners rely on spreadsheets or paper records to manage 1099 information, which leads to manual entry errors, missing data, and long hours spent cross-checking figures.

2. Collecting and Organizing Vendor Information

Keeping track of W-9 forms, Taxpayer Identification Numbers (TINs), and payment details from independent contractors and vendors can be frustrating and inefficient if not managed properly.

3. Staying Compliant with IRS Regulations

The IRS frequently updates its requirements for 1099 reporting, including filing deadlines, form types, and e-filing thresholds. Businesses must stay informed about new regulations to avoid penalties and incorrect filings.

4. Meeting Filing Deadlines

Many businesses scramble at the last minute to file their 1099s, increasing the risk of errors, late fees, and rejections.

5. Paper Filing is Slow and Outdated

Traditional paper filing is cumbersome, requires mailing, and may get delayed or lost in transit. The IRS encourages e-filing for faster processing and fewer errors.

6. Compliance with E-Filing Requirements

Starting in 2024, businesses filing 10 or more forms (previously 250) must submit them electronically to the IRS. Many small businesses unfamiliar with e-filing must now transition to digital submission, which can be confusing.

7. Increased IRS Scrutiny & Penalties

Filing incorrect or late 1099s can result in hefty IRS penalties. IRS audits have become more rigorous, particularly for businesses misclassifying workers or underreporting payments. Errors in Taxpayer Identification Numbers (TINs) or mismatched data can trigger IRS notices and delay tax processing.

8. High Costs of Third-Party Services

Many online platforms charge per-form filing fees, which can add up for businesses processing dozens or hundreds of forms. Hiring accountants or tax professionals for 1099 preparation can also be expensive.

Best Ways to Save Your Time Filing 1099 Forms in 2025

1. Automate Data Collection

Use accounting software such as CheckMark MultiLedger to track payments to contractors and vendors throughout the year. Collect W-9 forms from contractors before issuing any payments to ensure accurate information.

  • Why Collecting W-9s Early Matters
  • Prevents last-minute scrambling for tax IDs.
  • Ensures compliance with IRS reporting.
  • Reduces risk of IRS penalties.

2. Collect and Validate Vendor Information Early

A major bottleneck in 1099 filing is the last-minute rush to gather W-9s and verify contractor details. Instead of waiting until January:

  • Collect W-9 forms at the beginning of a contractor relationship.
  • Use software to store and organize vendor tax data securely.
  • Run TIN matching checks before filing to prevent IRS rejections.

3. Go Paperless with 1099 E-Filing

One of the most effective ways to save time is by switching to electronic filing instead of paper-based submissions. Here’s why e-filing is a game-changer:

  • Faster Processing – The IRS processes e-filed 1099s quicker than paper forms.
  • Fewer Errors – E-filing software validates data before submission, reducing mistakes.
  • Immediate Confirmation – You receive instant submission receipts and status updates.
  • Easier Corrections – If there’s an issue, you can quickly correct and resubmit the forms online.

4. Use an IRS Approved 1099 Filing Software

Manually filling out 1099s is a thing of the past. With the IRS-approved CheckMark 1099 Software, you can eliminate the hassle of manual data entry. Benefits include:

  • Bulk Uploading – Import vendor payment data directly from your accounting system.
  • Pre-Filled Forms – Auto-populate fields with existing data, reducing manual work.
  • State & Federal Filing – Avoid double work by submitting both in one click.

5. Stay Updated on IRS 1099 Filing Requirements for 2025

The IRS frequently updates rules regarding e-filing thresholds, form requirements, and deadlines. Some key updates to note in 2025 include:

  • Lower E-Filing Threshold: More businesses are required to e-file instead of using paper forms.
  • Stricter Penalties for Late Filings: Increased fines for missing IRS deadlines.
  • Changes in IRS Portals and Online Filing Systems: Ensure you register in advance for the IRS’s latest filing tool—the Information Returns Intake System (IRIS).
  • Backup Withholding Rules: Failure to obtain correct TINs may require withholding 24% of payments.
  • State Filing Requirements: Some states have separate 1099 reporting rules.

6. Stay Ahead of Deadlines

January 31 is the deadline to send 1099-NEC forms to recipients and file with the IRS. Filing early reduces last-minute stress and allows time for corrections if needed.

Filing 1099 forms with the IRS during tax season can be time-consuming and expensive for businesses. Many online services charge per form or submission, making it costly for companies that process multiple 1099s.

In 2025, filing 1099 forms will be easier, faster, and more affordable than ever with CheckMark 1099 Software! Our intuitive user interface, unlimited filing feature, and seamless data import help you save time & money, reduce errors, and stay compliant. Whether you need to print or e-file, our software ensures a smooth and hassle-free experience.

Why Choose CheckMark 1099 Software to Simplify Your 1099 Filing Process?

If you’re looking for a hassle-free solution to automate and streamline your 1099 filing process, CheckMark 1099 Software is the perfect choice. Designed specifically for small and medium-sized businesses, it offers:

  • User-Friendly Interface – The software mirrors IRS form layouts, making data entry simple and seamless.
  • Quick and Easy 1099 E-Filing – Directly submit 1099 forms to the IRS FIRE System in just minutes.
  • Bulk Data Import – Save time by importing 1099 data from spreadsheets or accounting software.
  • Built-in Error Checks – Minimize IRS rejections with automatic validation for accuracy.
  • Unlimited Filings & Recipients – File as many 1099 forms as needed without per-form fees.
  • Secure and IRS-Compliant – Meets all IRS regulatory standards for 2025, keeping you audit-ready.
  • Extensive Knowledge Base – Find quick answers with helpful step-by-step guides and FAQs.
  • Affordable Pricing – Cost-effective annual pricing plans are designed for businesses of all types.

CheckMark 1099 Software handles multiple 1099 form types, including:

✔ 1099-MISC – Miscellaneous Income
✔ 1099-NEC – Non-Employee Compensation
✔ 1099-INT – Interest Income
✔ 1099-DIV – Dividend Income
✔ 1099-S – Real Estate Transactions
✔ 1099-R – Retirement Distributions

Import data in seconds, preview your forms, and be ready to print or e-file within minutes—no more manual data entry or last-minute errors.

Get Started Today!

Don’t let the 1099 filing slow down your business. Try CheckMark 1099 Software today and experience a seamless, efficient, and error-free filing process. Get ahead of tax season and focus on what truly matters – growing your business!

By following these time-saving strategies and leveraging CheckMark 1099 Software, you can make your 1099 filing process faster, easier, and stress-free. Ready to simplify your 1099s in 2025? Start now!