sub-contractors

I've got you covered, @cab21.

You can set up your sub-contractors as a vendor and add a custom field to track the worker's compensation. Here's how:

1. In your QuickBooks Desktop, go to the Vendors menu and select Vendor Center.
2. In the New Vendor drop-down, select New Vendor.
3. Fill out the fields on each tab.
4. In the Tax Settings tab, select and check the Vendor eligible for 1099.
5. Enter the vendor's tax identification number in the Vendor Tax ID field.
6. Then, go back to the Vendor's profile and select the Additional Info tab. 
7. In the Custom Fields section, click Define Fields.
8. In the Label column, name your custom field (Worker's Comp).
9. Click OK once finished.

I'm adding these articles for more details: 

• How to set up contractors and track them for 1099s in QuickBooks.
• Create and use custom fields in QuickBooks Desktop.

You might also want to learn how to manually track Workers’ Compensation in QuickBooks Desktop. Here's an article you can read for more guidance: Get started with Workers Compensation.

Please let me know if you need clarification about this setting up sub-contractors. I'll be standing by for your response.

What information is required on the audit report?