In this episode Mary Schaeffer, AP Now founder and podcast host, talks about two looming issues that many companies are not addressing. Each has a deadline and her concern is companies won’t be ready. The issues are the REAL ID Act with a deadline of October 1, 2020, and the new 1099-NEC form that will replace the 1099-MISC for certain reporting.

She begins the podcast by discussing the issue of REALIDs, which most Americans use as identification to fly domestically. Experts estimate that two-thirds of the licenses currently issued are not compliant. After describing the problem, she offers solutions. She also warns listeners that if they are going to have employees rely on passports instead of drivers’ licenses for identification purposes, they need to address the issues related to that. She discusses two of them.

The second big issue facing virtually every organization is the new 1099-NEC form they will be required to use starting in January for reporting non-employee compensation. She advises against waiting until the last minute to start preparing. System changes will need to be made by many and they should be made sooner rather than later.

In closing Schaeffer advocates for addressing these issues sooner rather than later. She closes by noting that ignoring these matters until right before the date the requirements become effective will result in a real nightmare for any organization that did not take action sooner.

Host: Mary Schaeffer (https://www.ap-now.com/)

Credit: Music: https://www.purple-planet.com