Tax season may be among the most worrisome times for small business owners and payroll managers, especially when it comes to preparing, printing, and sending out 1099s and W-2s. Both are used to report wages and contractor payments, and any small mistake—like skewed printing or a wrong spot on the envelope—can cause delays or confusion.
With the IRS and state authorities placing tight deadlines, presentation and precision matter. Precision printing and use of these forms will ensure your employees and contractors have professional, readable, compliant tax returns. It might be a simple procedure, but it’s worth taking care to save time and bother later on.
Read on to learn more about the entire process, from choosing the right paper and printer settings to folding and sealing envelopes correctly so your year-end tax mailings are trouble-free and reflect your professionalism.
1. Choosing the Right Forms and Envelopes
Before you print, check that you’re printing with the correct forms and envelopes. W-2 and 1099 forms are printed in different formats depending on how they will be filed and mailed.
For example, W-2 forms typically have multiple copies for employees, the Social Security Administration, and state agencies, and 1099 forms have multiple copies for contractors as well. Purchasing the official IRS-approved scannable forms, which are readable by machines, is crucial to prevent rejections or reprints due to incorrect paper or layout types.
Equally important is selecting compatible W-2 and 1099 tax form envelopes. W-2 and 1099 forms typically need special double-window envelopes so that the recipient’s name, address, and your company’s return address line up correctly when they’re inserted. The envelope needs to be security-tinted to cover sensitive information, such as Social Security numbers.
2. Setting Up Printer and Software for Precision
Printing tax forms requires precision. Begin by ensuring your accounting or payroll software is properly set up.
Most tax filing programs, like QuickBooks, Gusto, or ADP, have special templates available for W-2 and 1099 forms that will automatically arrange data into the official IRS format. Be sure to update your software before printing so that it’s utilizing the latest IRS-approved forms.
Second, verify your printer settings. Print with a high-quality printer—a laser printer is ideal—to achieve crisp, clear text that will not smudge. Print quality should be set to “high,” and ensure scaling is 100% because even minor variations can affect alignment. Test print on blank paper before printing all your forms, and hold them up against an actual form to ensure everything aligns correctly.
3. Printing W-2 Forms Correctly
When printing W-2s, ensure you understand the different copies required for each employee. Copy A is the one that needs to be mailed to the Social Security Administration, while copies B, C, and D are for the employees and state and local tax authorities. There is a specific color and format for each copy, so ensure you’re entering the correct information on the corresponding sheet.
Most payroll programs allow you to print all copies of each W-2 form simultaneously. Ensure you insert the correct form in your printer tray and that it’s set to the appropriate orientation—printing upside-down or the wrong way around will cause the print to be off-center. It’s also good practice to print individual batches of forms for each employee to avoid confusion.
Upon printing, review a few samples to ensure that employee names, Social Security numbers, and employer information are accurately printed.
4. Printing 1099 Forms Properly
For independent contractors, the Form 1099-NEC is the standard form to use to report payments of $600 or more.
Like W-2 forms, there are multiple copies—one for the IRS, one for the contractor, and one for your records. Red Copy A must always be printed on official IRS paper, not downloaded or photocopied, as it is designed to be scannable. Copies B and C can typically be printed on plain paper from tax software templates.
Before printing, double-check the contractor names, taxpayer identification numbers, and payment amounts to ensure accuracy. Small mistakes can cause forms to be rejected or result in IRS penalties. Ensure your printer margins are set to match the form layout, and that text isn’t truncated or shifted.
5. Folding and Stuffing Forms into Envelopes
Once printed and inspected, folding and stuffing them properly comes next. Most W-2 and 1099 envelopes are tri-folded to display the recipient’s address and your address in the envelope windows. Please make certain to fold carefully along the perforations so they don’t become out of alignment. A good check is to fold a test form and put it in an envelope to ensure the addresses display correctly and are centered before applying the rest of the batch.
When placing, place all pages for each recipient—forgetting a copy could cause confusion or non-compliance. Avoid using paper clips or staples, as they may jam mail sorting machines and damage envelopes. Instead, please place them in a neat arrangement and insert the forms, closing each envelope properly.
Conclusion
Printing and mailing W-2 and 1099 forms may seem like a routine year-end task, but doing it correctly is a testament to your business’s attention to detail and professionalism. From selecting the correct forms and envelopes to arranging printers and folding papers correctly, every action contributes to accuracy and compliance. Mistakes not only cost time and dollars but can even lead to IRS penalties or employee discontent.
Therefore, by making the process simple and getting an early start, small business owners can handle tax form mailing with confidence. Careful planning up front means fewer hassles later—and a more streamlined start to the new tax year.
