What you owe each subcontractor

A subcontractor’s hours are approved on Timesheets at the cost rate their record carries. Payments to them are expenses tagged to them, which the tax summary already adds up for the 1099.

The product held both halves of what do I owe Sam and never put them on one line. This is that line.

Read the view

Subcontractor pay on the Timesheets page shows, for a pay period, each subcontractor with:

• Earned — their approved hours and what those come to at the cost rate recorded on each entry.
• Paid — the expenses recorded against them in the period.
• Balance — the difference, carried across periods.

Know what counts as earned

Only approved hours count. Hours not yet approved are shown as pending and are not in the figure.

That is deliberate: the number is what a manager signed off, not what somebody typed in. An amount you are about to pay somebody should not move because a time entry was edited overnight.

The rate is the one each entry carried when it was logged — so changing a subcontractor’s rate today does not silently revalue three weeks of work you already agreed. See Time tracking.

Record a payment

Record payment creates the expense against that subcontractor, which is the same record the tax summary reads. One action, and the balance, the job costing and the 1099 totals all move together.

There is no second ledger to keep in step, because there is no second ledger.

Understand the balance carrying forward

An unpaid week is still owed next month. The balance runs across periods rather than resetting, which is the only behavior that matches how these arrangements actually work.

At tax time

What you paid each subcontractor across the year, and whether they crossed the 1099 reporting threshold, is on Tax reporting.

Tax IDs are deliberately not stored anywhere in this product.