W2 means an employee, from a wage standpoint it means your employer must pay for half your social security and medicaid. 1099 means a contractor, which means y

W2 means an employee, from a wage standpoint it means your employer must pay for half your social security and medicaid. 1099 means a contractor, which means you are responsible for those. There are many other differences, but usually when talking about wage the 7.5% is the big one.