How often should a W-9 be updated?

It’s November. You’re staring at a vendor file that hasn’t been touched since 2021. The contractor completed their project ages ago, got paid, and now you’re wondering whether that old W-9 buried in your records still counts for anything.

With the 1099 season getting closer, the question is: Do you need to track this person down for fresh paperwork, or can you let it be?

Good news. You can probably let it be. Except when some changes occur.

Do W-9 forms expire?

W-9 forms do not officially expire, as long as the vendor details are still the same. However, the IRS recommends requesting updated W-9 forms every three years to maintain accurate information. That form you collected five years ago from a vendor whose name, address, tax ID, and business structure haven’t budged? Still perfectly usable.

Still, many businesses assume that W-9s require annual renewal and add this step to their processes. That’s not necessarily wrong, but it is redundant if the vendor name and tax details stayed the same. The IRS doesn’t require checking on vendors, but you can still do so to maintain file accuracy.

Think of it this way: Validity hinges on accuracy, not age. A W-9 doesn’t become invalid because of old age. What can grow stale is the information printed on it.

When do you actually need an updated W-9?

Update a vendor’s W-9 when their legal name, address, TIN, business structure, exempt status, or backup withholding requirements change. Name mismatches cause IRS errors, TIN updates make old forms invalid, and structural changes affect tax treatment. You can also request a new W-9 anytime for record accuracy.

How do I know if my vendor’s W-9 is still valid?

A vendor’s W-9 is still valid if their legal name, TIN, business structure, and address have not changed. Confirm the details match IRS records, especially for TIN matching. The W-9 requires an update if there’s been a name change, move, new EIN, or tax classification shift.

The key thing to consider here is how you know if any changes have been made? Vendors aren’t required to notify you of updates unless you’ve specifically asked them to.

Watch for signals like: 

• Invoices arriving with a different business name than what’s on file
• A casual mention during a call that they incorporated
• An address that bounced mail last quarter 

Any of these warrants requires a fresh request.

Some businesses verify vendor info in October before year-end deadlines or run IRS TIN matching pre-1099 filing to grab updated W-9s from mismatches. Neither counts as mandatory. Both prevent filing surprises.

What happens if you don’t update a W-9?

If you fail to update a W-9, you face real consequences like backup withholding, IRS penalties, and damaged vendor relationships if you don’t update the W-9 information. A name or TIN mismatch results in a B notice and 24% withholding. 

Incorrect 1099s lead to per-form fines. Your business may owe tax plus interest to the IRS if withholding is skipped. These aren’t abstract compliance concerns. They show up in specific, tangible ways.

Best practices for keeping W-9s current

The 5 best practices for keeping W-9s current are:

1. Collecting W-9s before the first payment: Not after. Not eventually. Before. Adding two minutes to vendor onboarding prevents chasing them after finishing their project, getting paid, and having zero incentive to respond to your emails anymore.
2. Reviewing your records in October: You’ll have buffer time before deadlines, 1099  contractors are still engaged with current work, and reaching out feels natural. Send targeted requests to vendors you haven’t heard from in a while.
3. Running a periodic refresh every few years: Re-collect W-9s from all active vendors every three or four years. Conservative? Sure. It catches updates vendors forgot to mention, though.
4. Grabbing the current IRS form version: Download directly from IRS.gov each time. That 2018 template sitting in your shared drive? Replace it. The IRS released an updated W-9 in March 2024.
5. Retaining completed W-9s for four years after the last related 1099: Secure digital storage with backups and access limits works best.

How to request an updated W-9 from vendors

Request an updated W-9 by sending a formal email or letter to the vendor explaining the need for current tax information. Attach IRS Form W-9 and set a clear deadline. Clarify that updated forms are required for accurate 1099 reporting and federal compliance.

This is the straightforward approach and most vendors usually respond to the first request. But keep in mind that some might need reminders, while others may not be responsive.

Does a W-9 need to be updated every year?

A W-9 does not need to be updated every year unless the information changes. The IRS only requires a new W-9 if the vendor’s name, tax identification number (TIN), or business structure changes. 

Still, some businesses ask for fresh W-9s every year anyway, to maintain records or in cases of high contractor turnover with risk of outdated records or industries where business structures change often (consulting, technology, or creative). These vendors often incorporate or switch tax classification, resulting in frequent W-9s refreshment.

Requesting annual updates is also a form of insurance. You catch changes before they become problems during the 1099 season instead of scrambling to fix mismatched names and TINs when January rolls around.

What if a vendor ignores my request for an updated W-9?

Follow up with one or two friendly reminders explaining 1099 needs if a vendor ignores your initial W-9 request. A one-week follow-up, then two weeks. Some vendors genuinely don’t understand why you need this. 

After three attempts with no response you can:

• Pause payments until documentation arrives
• Continue making payments and accept the compliance risks

None of those choices feels great, which is why upfront collection is always recommended, as it prevents this hassle. Collecting W-9s before the first payments motivates cooperation every time. When vendors have a clear incentive to cooperate, they usually do.

How Melio makes W-9 collection easier

Melio makes W-9 collection easier, especially if chasing W-9s sounds like exactly the kind of task you’d rather not think about.

When you add a new vendor in Melio, the platform prompts you to request their W-9 before that first payment goes through. One click sends a professional email with a secure link. The vendor fills out the form online from their phone or computer, and their information is stored automatically. No printing, no scanning, no email attachments floating around with sensitive tax IDs exposed.

For vendors already in your system who are missing current W-9s, you can send bulk requests and track responses through a dashboard that shows exactly who’s current, pending, or overdue. Reminders go out on the schedule you set, so you’re not manually following up with everyone who forgot to respond.

Everything connects directly to 1099 preparation, too. The taxpayer identification numbers flow from W-9s to 1099s without anyone retyping anything, which means fewer errors and fewer IRS notices about mismatched information.

The system works whether you have five vendors or five hundred. W-9 management that slips through cracks until January panic sets in becomes a non-issue when built into regular payment workflows.

Keeping W-9s current

To keep W-9s current, you should know that W-9 forms don’t expire. The information on them can expire, though. Annual updates aren’t mandatory. Periodic check-ins make sense. Any change to name, TIN, address, or business structure means fresh documentation. And the consequences of working with stale information, including 24% backup withholding and per-form penalties reaching into the hundreds, make getting this right worth the effort.

For businesses with a few vendors, manual tracking in a spreadsheet works fine. For larger vendor counts, Melio handles W-9 collection as part of regular payment processing.