This depends on your business structure: If the company is a sole proprietorship or a partnership, there is no need to be on payroll. An LLC Owner would normally not
An employee is someone who works for your business, and you pay them payroll and you pay payroll taxes on that money – about 10% employer payroll taxes on each
When you are paying an independent contractor (not an employee) and you paid them more than $600 in that calendar year, you are required to issue them a 1099 by