Planning For Your Subcontractors and Employees

The end of the year is an important milestone for your employees and subcontractors. Government-mandated reporting which must be completed requires that you have accurate and adequate information regarding individuals and companies who have worked for you. If you haven't refreshed your W-9 files for the subs, it might be a good time to require new W-9 forms from all subcontractors. Form W-9 is available here.

While you're at it, update the files for your subcontractor insurance coverages. You should have a record of the policy numbers and termination dates for the General Liability insurance policy and the Worker's Compensation insurance policy for each subcontractor. If you read your own General Liability policy, you will find that it requires that the subcontractors with which you work have such insurance and that you do this kind of tracking.

Most of the accounting programs for Contractors will help you in tracking this information. If you are not using an accounting program, or yours does not offer this feature, use the calendar feature in Outlook or whichever contact manager you use. Set up some systems which will flag you when insurance coverage renewals are due.

Make sure all subcontractors you are considering using have signed your company Terms and Conditions, which describes how your business operates. 

A sample Terms and Conditions document can be viewed here

Consider introducing the Subcontractor Management Contract system into your business. This system is invaluable for establishing a business relationship with each of your subcontractors and goes a long way to addressing and eliminating quality and management issues on your jobsites. 

Read more about the system here

Get all the information together for your subcontractor insurance requirements.  Use Quickbooks or another system to monitor that coverage and make sure that you are never left vulnerable to one of your subcontractors.

Read about the  insurance certificate monitoring system here 

Go to the Year-End Checklist membership page


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