How can I move someone from employee to contractor?

Hello there, SDByrd4072.

Instead of changing the type, you can delete the employee and enter it again as a contractor in your QuickBooks Online account. Here's how to delete them:

1. Go to the Workers or Payroll menu.
2. In the Employees tab, click the employee's name.
3. Select Edit Employee.
4. Choose Delete employee.
5. Select Yes to confirm the deletion.

Then, here's how to add a contractor:

1. Go to the Payroll menu.
2. In the Contractors tab, select Add a contractor
3. Enter your contractor’s info, or select the Email this contractor checkbox so they can fill it out.
4. Then, click Add contractor.
   

To track contractor payments for 1099s, you'll have to enter the contractor as a vendor. From the Expense menu, search for the contractor's name that you want to track and open their profile. Once you get there, click the Edit button and check the Track payments for 1099 checkbox.

You can check this article for more details about preparing and filing your 1099s during tax season.

Let me know if you have other questions. Take care always and stay safe.