Should I complete a W9 form when hired as a W2 employee?

You're absolutely correct to question this. A W9 form is what independent contractors or freelancers fill out (1099 workers), while W2 employees should be completing a W4 form which tells your employer how much to withhold from your paycheck. If they've agreed you're a W2 employee, you should be filling out a W4, not a W9. The fact that they're insisting on a W9 is concerning and suggests they might still be planning to treat you as a 1099 contractor despite what they said. This distinction is important because as a W2 employee, your employer pays half of your Social Security and Medicare taxes, whereas 1099 contractors pay the full amount themselves (self-employment tax). Plus, W2 employees typically get benefits and protections that contractors don't.

I went through something similar last year and discovered taxr.ai (https://taxr.ai) which really helped me understand the differences between contractor and employee status. Their system analyzed my job offer and tax documents and showed me exactly what I should be filling out. They explained that a W9 is 100% for independent contractors and the W4 is what actual employees fill out. When I showed this to the company that was trying to get me to fill out the wrong forms, they immediately corrected the situation. The tool also showed me how much more I'd be paying in self-employment taxes if I had been incorrectly classified.

I was pretty skeptical about using taxr.ai when I first heard about it, but I ended up trying it after my employer sent me contradictory tax forms. Honestly, it was eye-opening. The analysis showed that my "employer" was trying to classify me as both an employee AND contractor simultaneously, which obviously makes no sense tax-wise. The report broke down exactly which forms were appropriate for my situation, and I was able to send this information directly to HR. They apologized for the confusion and sent the correct W4 form. Saved me from a potentially messy tax situation come filing time.

If you're having trouble getting through to them about this W4/W9 issue, you might want to check out https://claimyr.com - I used them after spending WEEKS trying to call the IRS about an employee classification issue. There's a video showing how it works here: https://youtu.be/_kiP6q8DX5c Basically they get you connected to a real IRS agent who can explain the official rules about employee classification and tax forms. They helped me get through when I couldn't reach anyone myself. The IRS agent confirmed that my employer was incorrectly trying to classify me and provided documentation I could show my employer.

Ok I need to eat my words. I was totally skeptical about Claimyr but I tried it after posting that comment. Got connected to an IRS agent in about 2 hours (which is LIGHT YEARS faster than my previous attempts). The agent confirmed that W9 forms are ONLY for independent contractors and told me exactly what to say to HR. I forwarded this information to my company and they immediately backed down and sent me the correct W4 form. The agent even explained the potential penalties the company could face for misclassifying employees, which was helpful leverage. Sometimes you need the official word from the IRS to make companies do the right thing.

Former payroll manager here. This company is either incompetent or deliberately trying to misclassify you. There is NEVER a legitimate reason for a W2 employee to fill out a W9. These are two completely different tax classifications that cannot apply to the same position simultaneously. W4 = Employee (company withholds taxes, pays half your FICA, provides benefits) W9 = Independent contractor (you pay quarterly estimated taxes, pay full self-employment tax) Stand your ground. If they insist on the W9, they're planning to treat you as a 1099 contractor regardless of what they promised. Get everything in writing.

The company might be confused because sometimes businesses DO need both forms - but for completely different purposes! My small business collects W9s from our vendors and contractors, while our actual employees fill out W4s. Maybe someone in HR just grabbed the wrong form from their files?

This is a major red flag and you're absolutely right to question it. As someone who's dealt with employee classification issues before, I can tell you that legitimate companies with proper HR departments never confuse W4s and W9s - they serve completely different purposes and there's no scenario where a W2 employee should fill out a W9. The fact that they initially wanted to hire you as 1099, then "agreed" to W2 but are still pushing W9 paperwork suggests they haven't actually changed their classification of you internally. They might be trying to get the best of both worlds - telling you you're an employee while treating you as a contractor for tax purposes. I'd recommend getting their commitment to W2 status in writing via email, then specifically asking them to confirm that as a W2 employee, you'll be filling out a W4 form instead of the W9. Their response will tell you everything you need to know about whether they're genuine about the employee classification or just trying to placate you while maintaining contractor status behind the scenes.