Based on your financial expertise, provide your response or viewpoint on the given financial question or topic. The response format is open.

Being a 1099 for a company I part-own?
The contract he wants me to sign states I'll receive my monthly   stipend (if that is the right word) as a 1099 contractor. The right word is guaranteed payment, which is what "salary" is called when a partner is working for a partnership she's a partner in. Which is exactly the case in your situation. 1099 is not the right form to report this, the partnership (LLC in your case) should be using the Schedule K-1 for that. I suggest you talk to a lawyer and a tax adviser (EA/CPA) who are licensed in your State, before you sign anything.