Pay Stub vs. W-2 vs. 1099: Which Do You Actually Need?
A pay stub covers one pay period, a W-2 totals a year of employee wages, and a 1099 reports what a contractor was paid. Here's how the three relate and when each one is the right document.
The one-sentence version
A pay stub is per pay period, a W-2 is the annual summary for an employee, and a 1099 is the annual summary for a contractor — they cover the same basic idea ("what did this person earn, and what was withheld or paid") but at different time scales and for different worker classifications.
Pay stub: the pay-period document
Issued (or reconstructed) every time someone is paid — weekly, biweekly, or monthly. Shows gross pay, taxes withheld, deductions, and net pay for that specific period, plus year-to-date totals. Only applies to W-2 employees; contractors don't receive pay stubs.
W-2: the employee's annual tax document
Issued once a year, by January 31, to every W-2 employee. It's essentially every pay stub from that year added together and reformatted onto the IRS's standard boxes, used to file a personal tax return.
1099: the contractor's annual tax document
Issued once a year to independent contractors who were paid $600 or more for services (1099-NEC specifically) — or for other payment types like rent or royalties (1099-MISC). Unlike a W-2, no taxes are withheld during the year, so the contractor is responsible for paying their own income and self-employment tax based on the 1099 total.
How to know which one you need
If you need to document a single pay period's earnings — for a rental application or loan, most commonly — that's a pay stub. If you're filing your own taxes as an employee, you need your W-2. If you're a contractor documenting your total annual income, or a business reporting what you paid one, that's a 1099.
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Frequently asked questions
Can the same person have both a W-2 and a 1099 in the same year?
Yes — someone who has a regular job (W-2) and also freelances on the side (1099) will receive both, from different payers, for the same tax year.
Which one do I need for a rental application?
Pay stubs are the most commonly requested, but a W-2 or 1099 can supplement them, especially if a landlord wants to see a full year of income rather than just recent pay periods.