W2 Money or 1099 Money: Which Do You Earn? Is your income W2 money or 1099 money? There is a world of difference between the two. If you received a W2 at the end of the year, it means you did not have the use of all the money you earned that year. In fact, you lost close to a third of your money because you got it AFTER the government took its share. If you received a 1099 at the end of the year, you had the use of all the money you earned because you got it BEFORE the government took anything. If you have a job(W2), you MUST allow the government to take what it wants first and then you try to get it back. If you have a business(1099), you get the money first and then you send the government its share AFTER you've finished using it. If you have a job AND a business(1099), you can have MORE money and LESS taxes! If you have a job and dont have a business, you dont have a chance to become independent (and there is a difference between being a business owner and being self-employed). If this is something you want to know more about, post your interest and I'll post more information.